I think there's another effect operating here. New borrowing rules went into effect that reduce the amount that can be borrowed for a given income. As interest

I think there's another effect operating here. New borrowing rules went into effect that reduce the amount that can be borrowed for a given income. As interest rates rise, the approvable loan amount will be trimmed still further. Even if you have stock winnings, most people still need to borrow to buy a home. So buyers are looking at a declining amount that they can bring to bear in the market. However, sellers conditioned on ever rising prices aren't willing to accept lower prices just yet. Some are starting to reduce prices, but recently there have been multiple homes that don't sell and then quietly roll off the market in the 'hot' areas. Thus there is a market standoff, and buyers who want a house realize they can simply not afford a house here. Some react to that by leaving, a trend that is accelerating. It will be interesting to see what happens as interest rates go up, and reduce borrowing amounts still futher. If the future will bring a decline in prices or long-term stagnation - it's anyone's guess.