Long term inflation+ long term low interest rates = investing is the only way to stay ahead or at least keep up with the curve.

Inflation refers to the rate of increase in prices over a given period of time, but what impact does it have on real estate?

People jokingly talk about a certain person's proposal to basically give everyone $15k in down payment assistance if they're a first time buyer and not rich, saying that all it's going to do is instantly inflate real estate by $15k across the board.

Inflation refers to the rate of increase in prices over a given period of time, but what impact does it have on real estate?

However, inflation is constantly eroding the buying power of the dollar.

For reporting purposes, I think this will inflate both my income and expenses.

And the one real estate agent in town is inflating price to the point where cash flow is impossible.

And I really dislike my money sitting in the bank and losing 3% to inflation every year.

Inflation rates mean that over the long run, home prices will increase. 

I've spent the last week reading through pretty much all of the dozens of Gatlinburg area threads here on BP from the last few years, as well as browsing around the listings.Prices have definitely inflated a good bit since those discussion threads started, and as I've seen people mention in the more recent threads margins are tighter now (but still good).