The housing market is quite peculiar in many aspects.
The article is right about the effect of interest rates, they tend to push the prices up when they are low and having high interest rates will reduce demand of people who are using houses as investment assets.
This is far from marginal but also not the complete picture.
Most homeowners are living in them, and most potential home buyers are looking to do the same.
The core (and thus the long-term trends) of the supply/demand game in the housing market is directly related to demography.
Short term panic can occur, but unless people are dying _en masse_ or you wait long enough to see effect the demographic slowdown in your area, I don't think the housing market is susceptible to crash durably.
I think it would be an excellent thing if it could stabilize.
The article is right about the effect of interest rates, they tend to push the prices up when they are low and having high interest rates will reduce demand of people who are using houses as investment assets.
This is far from marginal but also not the complete picture.
Most homeowners are living in them, and most potential home buyers are looking to do the same.
The core (and thus the long-term trends) of the supply/demand game in the housing market is directly related to demography.
Short term panic can occur, but unless people are dying _en masse_ or you wait long enough to see effect the demographic slowdown in your area, I don't think the housing market is susceptible to crash durably.
I think it would be an excellent thing if it could stabilize.