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If property prices fell to the level I actually think is reasonable in principle (ie, same multiple of median income as when my house was built in the early 1900s, adjusted for cost of funding and whatever else) - everyone would be wiped out.
The only situation where that happens are a complete demand collapse or somehow catching up on the last 40-odd years of building that didn't happen for various reasons.
Equities can take a beating - and at least some definitely will as firms crumble under the debt they were loaded up with when servicing it was cheaper - and most people won't really be affected until they come to retire.
useless
@hugo7
Also given how long we've had asset inflation, how much would it have to fall by to cause real loss to those who hold the bulk of it?
What are the circumstances where that happens?
Not saying it's impossible, but curios as to how it actually plays out.