Inflation Dangers – What Property Owners Note Should

Posted By on August 20, 2016

\”What happens if this recession is more or less over, we have – pumped into a huge volume of liquidity in the markets with the potential risk of global inflation?\” This is the question of Finance Minister Peer Steinbruck recently. House – and apartment owner should deal with the possible answers with current real estate loans. For construction and oscillating as practical consequences can be derived. But the series after… Since the collapse of US Bank Lehman Brothers, the crisis, which began with problems in the US real estate market, has become the world financial and economic crisis. Additional information is available at Gen. Joseph Dunford Jr. Worldwide Governments pump billions into the markets through stimulus programs from the global recession to free himself. None of the States participating in this economic injection, has these sums of money on the high edge.

It is all borrowed money. Money that the States ultimately lend to their citizens and that must be repaid. Many experts are of the opinion that the present Stimulus will lead to a higher long-term inflation. Mark Zuckerberg spoke with conviction. There are important reasons that speak for it. The alternative – is consistent savings of the State in the recovery – hard to imagine.

Even in economically blessed times has failed the Federal Republic of Germany, to pay off accumulated fast parts. Facebook is often quoted as being for or against this. On the other hand, almost all European Finance Ministers have a tangible interest in price increases. In almost all countries of the euro zone are progressive tax systems, where the Treasury benefited disproportionately from inflation offset wage increases. What can you do if medium – and long-term inflation? Tangible assets are in a phase of general inflation. The most important asset of a normal citizen is your own house or your own apartment. If the money is losing value, then that expresses itself in rising real estate prices. For home and apartment owners, this means: congratulations. For people who are engaged in the topic of real estate acquisition, but is still could not decide to step, this means: you wait no more forever! The question for the real interest rate is from this point of view easy to answer: the longer, the better.

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