You fundamentally dont understand housing pricing by saying this. What they are saying is that Housing prices will explode relative to pay so you need a 50 year mortgage to offset risk of the loan. They wont implement a 50 year mortgage and then let prices explode while increasing your pay.
Discussion
No one is going to get a pay raise, they're laying us all one person at a time.
The only ones getting a pay raise are asset owners but even that's a bubble, so everyone is kind of cooked.
An alternative view is that the housing market appears to be rolling over and they need to entice more suckers to keep their bags afloat.
But looking at a fixed debt interest rate vs. an accelerating inflation rate in isolation, I think this might provide an opportunity - similar to the Yen carry trade.
There will also likely be 2nd order effects.
> Predictions are hard, especially about the future.