Yes, interest rates and serviceability are key. A related theory that I find intriguing is that the benefits of productivity gains have largely been claimed by

Yes, interest rates and serviceability are key. A related theory that I find intriguing is that the benefits of productivity gains have largely been claimed by the financial industry. As productivity improves, more credit is made available, people take on more debt to purchase a home because if they don't someone else whose can also service a larger debt will. This ultimately just drives up the price for everyone, leaving people no better off than they were before. The winners are those collecting the loan repayments.