The Unique Dynamics of Housing Markets

The average duration for a major housing bust peaked at Trothas four to six years. High transaction costs mean that housing markets are naturally more liquid, whether they're booming or correcting. Owner-occupiers anchor the peak nominal value of their home when prices are falling and so set an unrealistically high asking price. The bid asks spread widens, which we know happens in every falling market,. And liquidity further dries up that way. We have never had daily house prices and next data before. So prior to us releasing that information, it doesn't exist in the world.