We are heading for a decade long correction in the european housing market. Since the GFC the south used especially german RE as savings possibility. That's unwinding now thanks to the Fed pushing up interest rates.

TomK

Fall as much as it wants - many young Europeans still cannot buy at current prices with the deposits required or interest rate risk

carlosfandango

bitcoin

A recession brings its pros and cons. The nicer thing is when asset prices move into their deflationary phase. Of course it's mostly nice for those who sit on cash....

Let's take a look at the german housing market:
According to the German Federal Statistical Office (Destatis), the prices of residential properties (house price index) in Germany have fallen by an average of 9.9% in the second quarter of 2023 compared to the same period in 2022. This is the largest decline in residential property prices compared to the same quarter of the previous year since the beginning of the time series in 2000.

And it keeps falling and falling.