I've never taken out a balloon mortgage on residential property, I never intend to, and I'm in Indiana, of all places.As a matter of fact, you'd be much safer with a US style ARM where at least the amortization period matches the loan term - your rate may go up but you won't be hit with a balloon payment that you can only pay off by hoping for a new appraisal in line with the inflated price at which the property was originally purchased.

Odds are the county assessor has no idea that you spent $50k on reno, meaning your property tax bill is still tied to $457k, inflation adjusted but NOT appreciation/reno adjusted.

If Vegas got to 500k median house price, we have hyper inflation the United States has never seen because that market simply does not have the demand and has too much land for supply.

Property prices may slow down but inflation is eating away at America's core right now and when you retire in 15 yrs or so, then I would consider notes.

I am finding it almost impossible to find a decent deal (over-inflated) on a duplex that is in a decent area that will cash flow well (I will be house hacking using VA Loan).

Also, many ETFs will give you 8% adjusted for inflation.

If you look at inflation adjusted $/SqFt prices in such cities you will find that property prices have fallen as well as rents.

Keep in mind also, that Inflation goes up, and changes the value of the dollar with each passing year. 

INFLATION , plain and simple .

A 30-year fixed rate at 3.75% is a good deal because the mortgage payment will be more affordable a few years down the road due to inflation.