This study forecasts households’ demands for consumption and housing under an economic circumstance in which households can get loan from banks to purchase houses. The effects of changes in interest rate and housing price on economy are analyzed through overlapping generations model. The analyses show that the demands for housing will steadily increase in the mid-term horizon, and as the result, households’ debts ratio is also expected to increase by the year 2019. On the contrary to the public expectations, the fall of housing price, if not severe, will not cause the sharp decrease in consumption as the fall in housing price stimulates the demands for housing.