What is Housing Market?
The housing market includes home sales (new and existing), prices, mortgage activity, construction, and inventory. Major indices: US — S&P/Case-Shiller, FHFA HPI, Zillow ZHVI. UK — Halifax, Nationwide. India — NHB Residex, Knight Frank, ANAROCK reports. Affordability = home price ÷ household income (typically should be <5x). Rate sensitivity is extreme: mortgage payments rise materially with each 1% rate increase.
Why it matters for investors
Housing is the largest asset for most households and a major component of household wealth. Construction is a meaningful GDP contributor. Mortgage rates flow through banking sector profitability. Building permits are a leading economic indicator. Housing affordability has become a political issue in many major economies.