housing finance annual rate weakest in 13 yrs, page-80

>THE ONLY WAY MASSIVE FALLS CAN OCCUR IS IF WE HAVE MORE PEOPLE PER SQUARE METRE OF LAND OR WE CREATE HEAPS MORE HOUSES OR IF THERE ARE HEAPS LESS PEOPLE.

Not the only way, there are other possible ways.

People can be forced to sell - such trades will be made at the margin, which is what people are able to pay. If that price is substantially less, you can see 'massive falls'.

This has happened in the UK, where people believed that the population density was too high to cause a crash.