Why Australia’s falling house prices don’t apply to Brisbane
Australia’s falling house prices do not apply to Brisbane, according to a leading property analyst, who has slammed the latest comparisons between now and the global financial crisis as “reckless and alarmist”.
On Tuesday it was reported that prices dropped 5.1 per cent on average across the eight capital cities over the year to the December quarter, a steeper decline than at any time since the ABS began keeping records in 2004.
“The ANZ last week increased their LVR (loan-to-value ratio) to investors from 80 per cent to 90 per cent and their interest-only term from five years to 10 years. Westpac has thrown out an extremely low interest rate to investors,” he said.
“We’re now seeing evidence that they’re trying to correct their ways. As that happens, it’s not just making the money available, it’s impacting the positive sentiment.
“So there’s only been a few things like that, but they’ve happened. Credit is slowly but surely becoming accessible again and that’s positive for Queensland and all of Australia.”
