Core Insights - The recent housing price predictions of "20,000 in first-tier cities, 8,000 in second-tier cities, and 3,000 in third and fourth-tier cities" have sparked significant public interest, reflecting deeper societal emotions rather than just concerns about housing prices [1][3] - Homeowners are experiencing anxiety over potential asset depreciation, as housing constitutes nearly 70% of urban residents' family assets, while the debt-to-income ratio has reached 132% [4][6] - Non-homeowners are hesitant despite falling prices, as they fear that even with lower prices, they may still be unable to afford homes due to income uncertainties [5][6] Housing Market Dynamics - In September, 63 out of 70 major cities saw a month-on-month decline in housing prices, yet some smaller cities, like Dingbian in Shaanxi, experienced a 25% increase in new home prices over three years due to strong demand [6][7] - In first-tier cities, such as Shanghai, new residential prices increased by 5.6% year-on-year, indicating that extreme predictions of price drops may not be supported by current market conditions [7][8] - The housing market's structure is fragile, with a significant portion of family wealth tied to real estate, highlighting the need for a diversified asset allocation strategy [8]