Without checking the numbers 7% is pretty close to a normal interest rate over the last hundred years.

The big issue is that prices jumped up on insanely low 3% money. At 7% the prices make much less sense but there is no obvious path to force sales. It's going to be really weird for a few years and very fascinating

Here's the last 50 years https://www.valuepenguin.com/mortgages/historical-mortgage-rates