I would say looking at those graphs that the interest rates going down from ~1982 look pretty correlated to the real house prices going up till ~2008. Especial

I would say looking at those graphs that the interest rates going down from ~1982 look pretty correlated to the real house prices going up till ~2008. Especially for the post 1999 or so period. Then we had the bubble, then we had a crisis from a slight raise of rates. House prices move really slowly. You also probably want to look at real rates rather than nominal rates, for some of the period rates were high because inflation was also high. If interest rates keep heading up it's a good bet we're setting up for a repeat of that last crisis. Let's hope the banks are better prepared and have loaned money to less questionable people. It would also be instructive to see the shorter term rates, not everyone finances for 30 years. So I would say in theory and in practice interest rates have major impact on house prices. We would not have the bubble without the low interest rates as people wouldn't not be able to finance the purchase of those houses at those prices.