Whether the RMB depreciates or whether the house price falls depends on whether it will lead to inflation, which is related to the external dependence of a country's means of production and living. If the RMB depreciates sharply, it means serious imported inflation. If the inflation rate exceeds 10%, there will be many defaults in the supply of real estate. After the bank forcibly repossesses the property, it will generally auction it at a price of 50%, so the house price will plummet.

Importantly, under the expectation of RMB depreciation, the huge capital outflow will lead the central bank to cancel the issuance of RMB in large quantities, that is, from the perspective of foreign exchange, the liquidity of RMB will be reduced. This is contrary to the appreciation of RMB since July 2005, which has attracted a huge amount of capital to flow into China. At that time, the additional domestic RMB due to foreign exchange accounted for mainly flowed into the property market sponge, which became the main driver of the property market rise. In order to cope with the devaluation, many people choose to buy houses to preserve their value, which may lead to an increase in house prices.