[hourago]

> Floating rate debt holders can get burned pretty badly in an inflationary period.

So, it is the change in inflation, the raise, what makes it bad. If you ask for a loan when interest rates are at 15% your house price is going to be lower than when interest rates are at 1%.

So, you are right that "an inflationary period" as "increasing inflation" may be bad. But, maybe, the problem was that interest rates got to 1% . Such low interest make that just getting to a low 5% you are paying x5. Print more money, keep interest rates at 10% and unless they go up to 50% you are not so bad as people is nowadays.

[hsjqllzlfkf]

> If you ask for a loan when interest rates are at 15% your house price is going to be lower than when interest rates are at 1%.

In a stationary scenario, yes. But in a scenario where interest rates just jumped up after being very low for decades, it's likely that prices haven't come down in reaction to IR up. How long it takes for prices to react depends on other factors.