This is somewhat intriguing… an article posted at Macrobusiness about the Australian real estate bubble had a chart that caught our attention – read below.
The explosion of Australia’s mortgage debt is viewed by many economists and commentators as the key factor behind Australia’s unaffordable housing. For instance, Professor Steve Keen has often pointed to the sharper rise in Australian mortgage credit as a reason why Australia’s housing bubble is larger than that experienced in the United States (US) in the mid-2000s (see below chart):
We are not yet claiming that the Australian real estate market will implode like the American one did in 2008, but the chart above is at least intriguing…
To corroborate with this story, here are couple more stories that show a deterioration of Australia’s housing bubble:
1. Grey cloud gathers over Australia housing market
2. More Australians face housing stress
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