It's seen as important that real estate prices go up because a significant proportion of the population have borrowed money to invest in houses. If real estate

It's seen as important that real estate prices go up because a significant proportion of the population have borrowed money to invest in houses. If real estate prices fall, the wealth of people with houses/mortgages is reduced. One way of looking at this is that a significant proportion of the population have a 'vested interest' in increasing real estate prices. Some would also argue that continuously rising house prices are economically beneficial, as if house prices fall, then the homeowners/mortgagees who lose wealth from the fall will spend less, reducing consumer spending and hence 'harming' the economy.