Some loans require PMI if your outstanding balance is larger than the current value. PMI is very expensive and, unlike a TV or car, you might be forced to give up your house because it devalued too far and you can no longer afford mortgage and PMI.
I'm not saying we shouldn't make housing affordable, but it's worth considering the impact for everyone.
Isn't that something regulation (of mortgages) solves way better than forever banning decrease in housing costs?
I don't think lenders have any ability to retroactively require PMI; certainly no mortgage I've ever signed permitted this.