Agree with your comments on property prices vs income.
However, for property, it is expected that prices will grow above general inflation. IMHO (and various economists), property prices should grow in line with nominal GDP - which is real GDP plus inflation. So assuming we have real GDP growth, you would expect real property price growth if using general inflation as a comparator.
Obviously, this assumes that property as a share of GDP remains constant. For other goods, we can buy more of them as real GDP increases.
