when supply is much more than demand, its price falls

that's Eco 101. currently, more houses on the market than people want to buy. government or anyone else cannot change that fact and cannot be the landlord of all the unwanted houses.

when interest rate rises, housing price is down. with 9%+ mortgage, who want to buy houses?

and the reason why u think it should be up? don't tell me that since u already have it, so u have faith it must go up ;-).