sdduuuude,
Money is simply an exchange medium. What a dollar will buy in housing is not equivalent to what it will by in other sectors of the economy because lots of dollars are available for housing. So there is, albeit virtually, a housing dollar. The dollar can decline (in value) versus other currencies yet still buy more house (in the U.S.).
Again, money is another way to express the value of the house. As the money supply goes up or down, the currency (used to buy housing) inflates (worth less)/deflates (worth more).
