The housing market has been pretty mental for the last 20yrs! Ours has probably doubled in the 11yrs w've been there, but looing at its history it had doubled in value in the 10-15years before that as well.scotta wrote: ↑Thu Jun 22, 2023 12:50 pmExactly this. Inflation isn't being caused this time by people borrowing. Its increased energy prices and a shortage of workers that's causing this. Hiking the interest rate surprisingly (not) isnt working. It's just making folk struggle. The housing market is just mental and has been for the last 5 years. Our house has gone up nearly 30% in value since we bought 5 years ago.Simon wrote: ↑Thu Jun 22, 2023 9:27 am I've said it before but central banks the world over, ours included, have fucked this right up. They've completed ignored house price inflation for the last 2 decades whilst allowing historically low interest rates, then ratchet up interest rates to and tackle supply side inflation (rather than an over-heating economy) and then have surprised pikachu faces when inflation doesn't come down again. Well dur. What a fucking mess.
I'm fairly sure that printing lots of cash 15yrs ago wasn't the greatest idea, as quite a few economists warned at the time.