Property values aren't the issue

The media has worked itself into a frenzy over property prices in recent weeks, although this shouldn’t be surprising. Australians have been talking about property values and potential bubbles for roughly 225 years. I have no doubt Sir Arthur Phillip arrived in this country with a DVD of Hot Property, a years supply of Domain and a report from BIS Shrapnel showing that population growth had outstripped housing supply growth for the last two decades. So why are we talking about it now? Well, for one, the RBA (and central banks) have done everything in their power since the GFC...

The media has worked itself into a frenzy over property prices in recent weeks, although this shouldn’t be surprising. Australians have been talking about property values and potential bubbles for roughly 225 years. I have no doubt Sir Arthur Phillip arrived in this country with a DVD of Hot Property, a years supply of Domain and a report from BIS Shrapnel showing that population growth had outstripped housing supply growth for the last two decades.

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