G'day Tci, my 2 c worth, this might be possible if there is a substantial inflation breakout and wages triple at the same time, resulting from all central banks resorting to mass money printing. In this case your doubled capital would not be worth much more than it is today due to this inflation.
However I think people will realise that the western trend of living beyond our means by borrowing more and more money without the production of goods to support the borrowings, that has been going on for two to three decades, supported by capitalism, meaning to compete you send your manufacturing arm to china, is unsustainable, due to what is happening right now in the Euro and US.
This have it now borrwing culture has been one of the reasons for the massive spikes above the long term trend for property prices IMO. I don't think it can be sustained, as banks and central will eventually collapse as the source of bond buyers dries up when they realise they are being taken for a ride.
IMO property will double in 20 to 25 years if inflation and wages growth averages 3%, in line with the longer term trend. During this time I expect long periods of no growth in prices and periods of above average growth to catch up to trend. This is the best case IMO.
If we have a deflationary environment then things could be worse, where prices may not grow at all for 10 to 20 years. This is possible if central banks decide they have to stop printing money, as the ECB seems to have.
This will also mean the inflationary advantage of having a loan for a long period is lost.
This is not taking into account the 1 trillion dollar baby boomer super package tied up in property in AUS that has to be unwound to fund retirement of this group over the next 15 to 20 years.
