This article is from the Australian Property Journal archive
AUSTRALIAN house prices continue to be the most overvalued in world, according to The Economist.
The Economist’s global house price index, which was started in 2002, found Australian house prices are overvalued by 56% followed by Hong Kong by 54% and 48% in France.
According to the journal, Australian house prices have risen by 215% since 1997 compared to 95% in the US.
But the Economist said the market is at least inching closer to fair value. Home prices in Australia’s eight state capitals rose by only 1.2% in the year to January, compared with the month before, prices fell by 1.6%.
Australian Property Journal
