The obsession with "price" and the comparison to property is unfortunately a symptom of the blindness to gold's truth.
The increase in prices, not just of housing but everything is a symptom of inflation. It's not an inherent feature of every monetary system but it is of fiat currencies that real durable items become priced higher due to inflation of the money supply.
The higher house prices are not a sign of increasing wealth but rather a sign of increased robbery through inflation. Your purchasing power is being withered away by systematic and deliberate inflation.
Property in the longer term, when you do studies over centuries in established cities shows nothing other than keeping pace with inflation.
The current period is a bubble. An aberration. It will revert to the average/mean in time. It has resulted from the creation of incentives to invest in property over other assets but it is not a sign of increased wealth. It's a sign of way too much borrowing and indebtedness. It's an account that will need to be reckoned at some point and it doesn't look good to an objective observer.
Gold by comparison has been systematically discredited and disincentivised as a form of wealth protection. People don't typically borrow to obtain gold. It's price is not driven to bubble levels by borrowing to pay for it.
So given this situation which asset would you buy? The one in an unprecedented bubble or the one that is undervalued?
