Most buyers would require mortgage or another kind of loan. For a loan holder, the question is monthly payment, not price. Higher interest means higher payments

Most buyers would require mortgage or another kind of loan. For a loan holder, the question is monthly payment, not price. Higher interest means higher payments, thus negating the decrease in prices. Of course, for cash buyers high interest rates are good, but I suspect people worrying aboug being priced out of the market aren't cash buyers.