New Zealand’s house prices are finally falling. Could this happen elsewhere?

New Zealand's once-booming housing market is experiencing a significant downturn, with prices dropping by up to 30% in some regions. This shift, which experts say is driven by rising interest rates and reduced investor demand, has provided some relief for first-time homebuyers who were previously priced out of the market. However, experts warn that the obstacles to home ownership in New Zealand remain substantial, with housing supply still struggling to keep up with demand. The country's housing crisis, characterized by sky-high prices and limited affordability, has been a long-standing issue, and the recent price decline may not be enough to address the underlying problems. The situation in New Zealand raises the question of whether similar housing market corrections could occur in other countries facing similar challenges, as central banks around the world continue to raise interest rates to combat inflation. The outcome of these market shifts will have significant implications for housing affordability and access to homeownership in the affected regions.