Re: Real Gains
Houses are also subject to pump and dump, though. Get a few lifestyle journalists to move to your area, before long articles appear about it in the magazines and newspapers, people from London or the Midlands think it looks a nice place to live and house prices start to rise. Soon nobody is building any affordable housing (who would, when they can advertise in London and find ready buyers), prices rise still faster, and before long shop prices are rising as rents increase and infill starts to happen removing amenity spaces. The very things that attracted people in the first place disappear.
At some point people will get tired of the pressures of growth, profit taking will start and things will return to normal. But some people will be left with huge mortgages, the price of other people's profits.
I suspect that the analogy with cryptocurrencies is pretty close except that you can't go into a cryptocurrency and buy a chai latte and gluten free brownie.