For the first time in more than a decade, residential real estate across the developed world appears vulnerable to price declines. This is what happens when central banks turn to a rate-hiking mode after an unprecedented rise in house prices.
 

But unlike last time - the 2008 housing crisis - the United States will not be at the center of this housing sector downturn. At least according to Goldman Sachs.
 

This month, researchers at Goldman Sachs issued "Housing Pullback: A Bigger Deal North of the Border and Up." By the end of 2023, the paper expects a crash-like drop in house prices in New Zealand (-21%), Australia (-18%), and Canada (-13%).

For comparison, the US housing bubble saw a 27% decline in house prices between the 2006 peak and the 2012 trough.