‘Misaligned’: New report warns of housing market crash

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The nation’s housing market is at risk of crashing and is the most 'misaligned' in the region, according to a new global analysis report.

“Our model-based analysis shows that a high magnitude of price misalignment, when combined with the impacts of high policy rates, can lead to a sizeable price correction, nearly comparable to past episodes of housing busts,” the IMF said.

A new report says Australia’s housing market is one of the most “misaligned” in the developed world as interest rates continue to rise. Picture: Getty Images “Misalignment in housing prices, combined with the expected rise in interest rates as central banks normalise monetary policy, suggests a significant risk of a correction in housing prices.”

“The average household would need to spend more than 40 percent of its disposable income to afford housing priced at the median,” it said.

 

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Poor aspirational Aussies fall foul of Howard's mantras, both he and Morrison promulgated greed so Australia's 1% of wealthy grifters took the most then funded those two self righteous bullsh*t-artists-of-faith. 😇 the * is for Twitter's nannys.

Much like Piers Morgan’s Twitter account 😳

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Australia’s ‘misaligned’ housing market at risk of major crash as rates rise: IMFThe International Monetary Fund says property prices in Australia may be as much as 50 per cent above what an average household can afford as interest rates rise.
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