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I agree with you but to add another point, if house prices were to decrease significantly then loan margins would kick in for homeowners too. And with low inte

I agree with you but to add another point, if house prices were to decrease significantly then loan margins would kick in for homeowners too. And with low interest rates, low wages(vs house price) for so long the margins for that are tight for a lot of (silly?) people who borrowed "as much as they could". It seems like: - house prices up, investors win. - house prices down, homeowners lose. It will be interesting to see how it plays out but at this stage either side of political argybargy are doing SweetFA and advertise policies to do more of the same.

AussieWog93 4y ago
Theoretically, the market going up or down shouldn't make any difference at all to most owner-occupiers. If they hold onto the house, short-term fluctuations don't affect the eventual sale price. If they buy a new property in a similar market after selling the old one, then the "losses" on the old house are made up for by the "savings" on the new property. It's only people who downsize or leave the property market altogether that would be affected by a short-term dip. (The caveat being, of course, that this completely handwaves away human psychology! Being "underwater" on the mortgage would definitely make a lot of people stressed and anxious.)