In principle you are correct,but the rules out there have and or are changing.If it isn't the case like past downturns,then why aren't we seeing rampant unemployment.Pushing house prices or deflating the housing prices in a downward spiral is not the only way,if it was the unemployment in the housing/construction would be at Mercurial heights.
As far as inflation or maybe hyperinflation goes you would have to rocks in your head hiding money under the mattress.
But when it takes the equivalent of 9 years annual salary to pay a loan off as against the old 3 year quote,you would rent wouldn't you?.So what we are seeing is disinflation,not deflation---- well not yet anyway.
