4 ms·
Sorta. They're a hedge against low real returns in the stock market, which is slightly different than inflation by itself.
by xapata 5y ago
Sorta. They're a hedge against low real returns in the stock market, which is slightly different than inflation by itself.
- aynyc 5y agoMy macro economic understanding is that real estate is a debt that hedge against inflation. Since inflation will cause raising cost, your mortgage is locked in while cost of everything is going up. Inflation punishes savings but help debtors.
- xapata 5y agoYes, but if inflation also pushes up asset prices, you might have been better off investing in the stock market.