I am not so sure that using inflation as a mechanism to catch up with a home valuation is a great idea.
To do so is to make an assumption that there will be easy money to cope with the inflationary environment. To think that home valuations will rise with inflation when there could be mortgage rates at double digit values is an assumption I would reconsider.
I do not see house valuations rising with inflation in such an environment. Will they rise rise? yes. How much will depend on the environment we are in. Also if it all scales then the value of Ox’s dollars will scale as well won’t they? So as Ox may get more dollars for his home, those dollars are worth less. Consequently the home (timber frame?) that Ox wants to build will cost more for materials, labor, property tax, and who know what our tax environment will look like from the federal and state levels.
Just playing devils advocate but I think it is not as clear cut as you make it out to be.
