Is the global housing slump over? Reason to believe the worst is over.

 Why rising interest rates have not yet triggered property pandemonium

Real house prices remain miles above the level of 2019. 

Many millennials and Gen-Zers, who had dreamt that a crash would allow them to buy their first house, are no doubt disappointed.

They are 3% below their recent peak, or 8-10% lower once adjusted for inflation. This is in line with the average correction since the late 19th century.

Could the housing bust be merely delayed? Perhaps.

Central bankers may be minded to raise rates or keep them high until the higher cost of money truly starts to bite. Making homeowners feel poorer is one way of getting them to cut spending, which would help trim inflation.

Yet there is reason to believe the worst is over. 

The Economist 12 June 2023

https://www.economist.com/finance-and-economics/2023/06/12/is-the-global-housing-slump-over