Post
Topic
Board Economics
Re: Housing bubble in Australia
by
bohr
on 26/06/2017, 16:45:48 UTC
As we all know it's getting more and more expensive to buy a house, and the rate of growth currently associated with investing in a house is just phenomenal, and obviously too good to not be a bubble. We all know that. However, WHEN will this bubble pop?

More and more houses are being built but the demand for it just continues to go up. And many houses are bought and just left to sit there, not even rented out, fueling the problem further because investors just want a safe and profitable investment.

What do you think the governments can do to avoid this? Put a limit on houses per person? Your opinions?
That bubble is going to burst, one of the things you need to understand is those bubble go for very long time because they are fueled by cheap credit, but at some point there will not be a way to sell all those houses and bad credits will be given to people that will never be able to pay them.