Alot of attention is paid here to real house prices and I don’t fully understand this importance.
If property prices are increasing but not beating inflation?
Presuming a more healthy demand vs supply and renting costing at least same as interest repayments **wouldn’t real house prices be irrelevant **because mortgage repayments would remain static in nominal terms and decrease in real terms while rents remain static in real terms.
What are the arguments against buying in such conditions?
If there is massive inflation and steady house prices, if you buy a property for €300k now on a 30K income (ten times your income) in five years time you will be earning 90k per year and the house price will still be €300k (3.3 times your income).