Is runaway inflation a massive source loan forgiveness? - Massive loan becomes the price of bread.

[Spiny Rumples]

Hear me out.
Freddy A is a wannabe homeowner.
He sees economic storms brewing, and thinks he can guess when inflation will take off.
He takes out a loan on a million dollar house.
The dollar value plummets, and wages adjust via a rocketship into space.
Now a loaf of bread costs $40k, and he can pay off his home in one paycheck.

Does it work this way?

 

[Bongocat]

no, because wages haven't risen in the past 50 years and they probably never will again.

 

[libRT]

Runaway inflation is runaway because when its triggered the increase is exponential. Some sectors may feel better than other sectors but they are all losing.

You may get lucky and somehow pay the loan off outright but property rights are protected by the state. If the system collapses (usually inevitable), the deed to the house just becomes a piece of paper.

Loan forgiveness is never free, whether its coincidental or deliberate.

 

[MysticLord]

no, because wages haven't risen in the past 50 years and they probably never will again.

This, plus it's easier just to squat in empty properties and stockpile [stuff] so you can ethnically cleanse libtards from the area and get a house (and quintet of wives) that way.

 

[Manul Otocolobus]

Inflation is always good for debt, if you have a fixed rate. If it's adjustable, the rate will adjust to account for inflation, so you're fucked.

 

[Make Anime Illegal]

Yes, but only for the Government. Any benefit to anyone else is a coincidence.