Most property discussions centre on the question of valuation. Fans and spruikers tell us that demand outstrips supply and prices will continue to rise. Detractors point to history and overseas markets and tell us Australian property is massively over-valued. Some even predict a major house price crash.
But if you're looking at residential property as an investor there's a more fundamental question than whether property is or isn't over-valued. Its 'how much can I afford to invest'?