In June of this year, ANZ made an assessment that Melbourne house values could fall as much as $1000 a week for 18 months to follow.Many property experts immediately dismissed the claims as over the…
It’s easy to get caught up in all the hoopla when it comes to Australian housing.
It’s easy to be concerned about Australian housing prices, which seem to just climb higher and higher.
It’s easy to want to jump into the housing market and see your investment properties sore.
It’s also easy to make a stupid mistake, or pass on a perfect opportunity, if you don’t know the facts.
That’s what the team at Markets & Money are here for.
A brief History of Australian Housing
Since the 1990s — when property prices freakishly increased higher than inflation— we’ve seen prices steadily soar.
But it got even more weird than that.
In the late 2000s, property markets all over the world were crashing left, right and centre. The GFC had stomped over houses across the globe. And yet…
Australia’s housing market continued to rise.
And guess what? It’s still rising.
Unfortunately, our wages are not.
So it isn’t surprising that, in 2016, Australian households took the record for the most over-indebted households in the world.
Needless to say, we weren’t celebrating.
Sydney and Melbourne are becoming part of the most expensive property markets in the world. 800,000 of those over-indebted homes sit in one of these two cities.
When will the real estate bubble form? Or are we already in one? Is the bubble about to pop? Or are the walls getting stronger, making our prices go higher?
How You Can Read the State of Australian Property
One way to get to the real story is to follow listed companies that are tied to the Australian housing market.
If housing is indeed being stretched, then the first signs of stress will show in these companies as softening demand. And that softening demand will show up in the company price chart. Guaranteed!
But if stocks in this sector are mostly making new highs, it means company revenues are growing. Thus, Aussie housing still has steam to run.
It’s our job here to give you the updates on these listed companies.
The latest news on the Australian Housing Market
At Markets & Money we keep a close eye on these indicators.
And we will let you know exactly what the outlook is for the Aussie housing market.
With updates daily, you’ll be able to knock on anyone’s door and tell them how the market is performing at any moment.
Credit tightened and unemployment soared. High unemployment meant that salaries dropped and consumption slowed. Many businesses failed…and, with the credit slowdown, only a handful could access loans to start up new businesses.
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