Yes.

The bubble pops when the price growth stops, and goes negative.

‘The bubble’ is basically the idea that prices just keep going up forever.

Based on that idea, financing, loans, leverage happens.

When the fundamentals no longer represent the bubble mindset, everyone whose personal budgets or business relies on prices just going upward, forever, are now margin squeezed, and potentially margin called depending on how overleveraged they are… because you based your ability to pay the debt on your loans you used to purchase the property… on the idea that your property and thus rent prices would just keep going up.

Now, your property is actually worth less, and thus so is the amount of rent you can charge… but your debt payments are still the same.

You hold out as long as you can, but all around you other property owners are cutting their losses and selling at lower property values, which further reinforces the idea that your own property isn’t worth the rent you are charging for it.