Darkman Posted May 15, 2014 Share Posted May 15, 2014 Rapid house price rises in the pastRapid house price rises are being touted as a thing of the past by the Reserve Bank because of tougher lending standards. The RBA's head of financial stability Luci Ellis says there will be fewer buyers in the housing market, which means less upward pressure on prices. "Housing prices are therefore going to be cycling around a slower trend than they did in the past," she said. "There will be more periods where prices are falling a little." Since the GFC, the RBA and the Australian Prudential Regulation Authority have urged to put an emphasis on the borrower's ability to meet everyday costs as well as their loan repayments. "After all, it doesn't seem reasonable to expect people to have a poverty-level lifestyle to pay off a million-dollar home," Dr Ellis told the Citibank Residential Housing Conference in Sydney on Thursday. https://au.finance.yahoo.com/news/rapid-house-price-rises-past-040710104.html Oh yeah, sorry.... this is from Oz not the UK. Apparently those in power over there understand the silliness of crazy house prices. Quote Link to comment Share on other sites More sharing options...
zugzwang Posted May 15, 2014 Share Posted May 15, 2014 https://au.finance.yahoo.com/news/rapid-house-price-rises-past-040710104.html Oh yeah, sorry.... this is from Oz not the UK. Apparently those in power over there understand the silliness of crazy house prices. For sure Australia has a bubble economy but there's no real comparison with the bankrupt dunghill that is the UK. Quote Link to comment Share on other sites More sharing options...
Quicken Posted May 15, 2014 Share Posted May 15, 2014 NZ have even raised rates to 3% to start to get a grip on their bubble. Antipodeans leading the way. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted May 15, 2014 Share Posted May 15, 2014 That's because Oz doesn't have our magic dynamics, for a start it doesn't have a London. House prices throughout history have been on a upward trajectory. Quote Link to comment Share on other sites More sharing options...
danlee74 Posted May 15, 2014 Share Posted May 15, 2014 Out of interest (genuinely do not know), when are the next AUS / NZ general elections? Quote Link to comment Share on other sites More sharing options...
Executive Sadman Posted May 15, 2014 Share Posted May 15, 2014 Out of interest (genuinely do not know), when are the next AUS / NZ general elections? steady on, aussies only just recently elected that new guy! Quote Link to comment Share on other sites More sharing options...
Steppenpig Posted May 15, 2014 Share Posted May 15, 2014 steady on, aussies only just recently elected that new guy! Ah so he's probably still in the "common sense" phase. Give him a couple of years, and he'll be borrowing and pumping up prices like everyone else. Quote Link to comment Share on other sites More sharing options...
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