It took several years for the 2007 financial crisis to really have its full effect on housing—prices fell until about 2012. I bet the same thing is happening no

It took several years for the 2007 financial crisis to really have its full effect on housing—prices fell until about 2012. I bet the same thing is happening now but is happening slower due to all the foreclosure and eviction protections and delays in court since the pandemic. Maybe prices will fall for longer or just flatline for a while since there are so few sellers it drives up prices—but interest rates are going to have an impact. If you couldn’t buy at a 3% mortgage, why will you be able to afford a 7.7% mortgage with prices the same? It’s now more expensive to buy a home in third tier cities than to just get a rent controlled apartment in cities with actual job prospects. Prices will adjust because this is surely not sustainable. I think the car market will soften and turn first and be a leading indicator.