Inflation and Real Estate

I had an interesting conversation today regarding inflation and real estate and I wanted to share some points. I am noticing two types of buyers in the Hamptons market, the buyer who is looking to park his capital into real estate right away as he understands that eventually we will have to print more money or raise interest rates. The other buyer is sitting on the sidelines trying to figure out what to do with his Cash and whether he should wait to purchase a home until the winter or spring. 

As more money is printed and circulated into the money supply, real estate values long term will continually ride the wave of higher values like they have done throughout history. The name of the game right now is finding a home (pun intended) for your cash that has a tangible value and that will provide a healthy yield on your investment.

The Hamptons market continues to have record years and sales because wealthy individuals who know how to play the game continue to purchase real estate as a hedge against inflation and to protect and grow their wealth.