correlate with housing price appreciation very much. During the 80s when interest rate was very high (8-12%), housing price doubled in that boom cycle. Of course, friendly rate does help make appreciation easier, but appreciation doesn't always happen when rate was friendly. From historical patterns between rate and price, I don't find a close correlation.

What's my take now? housing price could still rise under a higher interest rate if the rate is not extremely high (which is not likely).