Why Australian house prices are cheap

The latest data from the McKinsey Global Institute should quell fears of a looming property crunch.

Summary: Australian property remains cheap compared to other nations despite comparatively high urban concentration, data provided by the McKinsey Global Institute shows. In fact, while debt is already high in Australia, international experience tells us there is no reason why it can’t push higher, particularly when three quarters of our household debt is being held by top income earners.

Key take-out: As always, detached housing is a better investment than in units, particularly in Sydney where there is no sign of a pick-up in construction. If you’re nervous about Sydney and Melbourne, there are good opportunities elsewhere.


SMS Code Sent…

Hi {{ user.FirstName }}

Looks like you've already taken a free trial

Please enter your payment details

We have sent you a code via SMS to {{user.DayPhone}}

please enter this code below to activate your membership

If you didn't receive SMS code please

Looks you are already a member. Please enter your password to proceed

Please untick this box when using a public or shared device

Verify your mobile number

Please sign up for full access

Updating information

Please wait ...

  • Mastercard
  • Visa

Related Articles