How to look at REI in the context of our Economy?

[David L.]

How is the current and upcoming economy affecting RE?

• Wages are rising
• Rates eventually going to rise
• Employment is up
• Inflation likely

Now I don't know how true the above bullet points are but those are the most common topics I see coming up these days.  With these ideas in mind, how do you see them affecting real estate?  I'm seeing a lot of opinions that now is more a "waiting" period to see how the RE market reacts.  

What's your guess?  What actions are you taking?