>Pronouncements like this come out all the time in Australia, for at least the last 7 years. This is an example of a headline that can't lose - you are telling

>Pronouncements like this come out all the time in Australia, for at least the last 7 years. This is an example of a headline that can't lose - you are telling people that can't afford a house what they want to hear, at the same time spreading fear amongst those that do own property, and eventually you'll be 'right'. Well no, it is true. A shock to the economy will obviously create a major effect in high-cost structure societies compared to low cost structure societies. That is what I like about some places like China. Here in Australia, people just think "well my wage pays for it so who cares". They don't see how it exposes you when you suddenly don't get the wage or when you want to do something other than get paid a wage. What is not true is that this is some kind of bubble due to house prices and wages being out of sync. In reality, house prices can continue to rise even if wages don't rise simply because the definition of a house is not a constant. A house becomes a small house, becomes an apartment. You can keep creating affordable housing simply by increasing density. >The problem primarily exists in Sydney and Melbourne. and Brisbane and surrounding areas, which encompasses most of Australia's population. >who will continue to invest in property and transfer wealth to their children which creates a massive divide.