> if i can't afford it with the cash i have, i am not getting it.
With that attitude, about 99% of people couldn't ever afford a house because there is no way on saving the cash needed and paying rent at the same time.
I totally agree, here in Romania, prices have skyrocketed since the banks became involved... one might argue they fund new construction but the downside is it's destroying a lot of the authentic inner cities with "ugly" high rises...
Also somewhere there is a succinct explanation of how when you want a loan from a bank for a new property, they go to the central bank and get one to finance you, thereby creating money out of thin air, and adding to monetary inflation... but please correct me if I'm wrong