Prices of homes will fall until the average family can afford the average home. and since the average family is getting less able to afford a home, home prices are still way too high.
I don’t know if that clearing up of price between buyer and seller will politically be allowed to happen. The gooberment will borrow to keep prices high, and borrow more to finance priced out buyers into the over priced houses. Just like farm supports for high crop prices and food stamps for poor people priced out of high farm crop prices.