" some regions with experience inflationary monetary policies while others would experience deflationary ones. "

Housing - and capital inflows/outflows - are primary drivers of inflation! (FYI I know housing is generally not included in inflation targets, but it really should be because it's where inflation can effectively be hidden).

Ergo - strongly related to the issue at hand.

Put simpler: those who come from countries with a different currency should not be able to buy residential property. :)