RBA research shows rate cuts inflated the property market

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Rate cuts inflated the property market: RBA

Reserve Bank research has found its cuts in official interest rates drove up house prices, and cautions that long-term falls could in the worst case escalate into an American-sized drop in Australia's property market.

They found that a one percentage point cut in interest rates lifted house prices by 8 per cent in the two years after the move.few years can be explained by the fall in interest rates," they found. The research found that increasing population growth will have some effect on the overall property market, largely by reducing rental vacancies, which in turn lifts rents and encourages more construction.

 

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Here we go with the propaganda scapegoating a spent force & partial subsidiary player to the main game and current force of the mass immigration ponzi population scheme. Nice try but you aren't fooling anyone. Lowe is covering his arse but this time he is right, its population.

Glad we pay these geniuses the big bucks to work out what's going on.

RBA Those morons at the ,the smartest men in the room should have increased rates five years ago, we where having 3% or more yearly growth. Now we are going into recession, and they do not know what to do and dont think they will save us, they are idiots

So how is this news?

Well of course!! The RBA governor is lying when he says “it’s all due to supply shortage not interest rates” 🙄. Why the lies? To justify more interest rate cuts to please his rich investor friends.

Am surprised the RBA did not factor negative gearing benefits along with the low cost of mortgages, and the extent to which a rise in investment properties places upward pressure on property prices.

Obvious

Well gee ya dont say

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Business Brief: Market braces for soft reading on economic growth | Sky News AustraliaCommsec's Tom Piotrowski says the market is 'bracing for a soft reading' on economic growth over the course of the December quarter with Australian Bureau of Statistics set to release the national accounts on Wednesday.\n\nMr Piotrowski says there is a consensus that the economy will have expanded by 0.3 per cent, to come in at an annualised rate of 2.6 per cent, standing below the RBA's forecasts of full-year growth.\n\nSpeaking with Sky News, Mr Piotrowski says the results are expected to spark discussion about whether or not the RBA is being 'too ambitious' with its full-year forecasts.\n\n\n
Source: SkyNewsAust - 🏆 7. / 78 Read more »