too much money going around now so I would push that timeline a bit. Another point is now interest rates are very very low once inflation hits it is likely to go up so even if the price does get cheaper your effective payment goes up or stays flat.
Too much money going around now is why the prices are as high as they are. People are spending temporary money on non-temporary expenses.
The mortgage deferment program ends in September. If most of the country is vaccinated, and the economy is opening up, it's unlikely it will be extended. When it expires, all those people will have to pay their regular mortgage amount, plus what they didn't pay over the previous 18 months. For most borrowers, the principal and interest will be moved to the end of the loan period. There will be a minority of borrowers who will need to make additional payments right away in order to bring their loans current, either as a lump sum or in installments. This is the scenario most people have calculated.
Here's what they haven't calculated: escrow repayment. That will need to be paid off within the year. It can increase people's mortgage payments immediately by 30-60%. The vast majority of Americans aren't set up to deal with that kind of increase to their monthly budget. Add in rising prices to many staples, like groceries, and car/medical insuranc2, and you'll get a lot of people who would normally be fine now unable to pay their bills. Factor in the people who miscalculated what they could actually afford to buy during the last year because of an influx of temporary income or out of desperation, on top of the backlog of foreclosures paused by the moratorium and the standard rate of default, and you have a recipe for disaster.
IMO, inflation doesn't help the situation; it exacerbates it.
