Housing prices have been rising almost everywhere. The figure below shows the inflation-adjusted house price index from the Dallas Fed, It shows how prices have gone up, with 2005 as the base year. House prices are certainly higher in the US, but they have soared many times over in Canada, Australia and Israel. It shows many countries may be vulnerable as interest rates increase because long-term fixed rate mortgages are unusual outside the US.

Source: Federal Reserve Bank of Dallas

Allison Schrager is a senior fellow at the Manhattan Institute. Follow her on Twitter here.