Pretty sure house prices have fallen a bit in most places if you take inflation into account. One reason they haven't come down more is probably that most people think the current interest rate is just a temporary anomaly caused by recent disruptions to global supply chains (Covid+war in Ukraine). Fundamentally little has changed and I guess people are betting once this blows over house prices will continue up like they've done the last three decades.
They have. I have occasionally looked at this site to see what is happening in areas of the UK I am interested in and there are far more real terms drops:
