Sydney Home Price Gains to Slow After 13% Climb, RP Data Says
Prices in Australia’s biggest city have risen an average 9.1 percent in the 12 months ended Aug. 31 to A$580,000 ($582,000) for houses and A$450,000 for apartments, according to a RP Data study prepared for St. George Bank Ltd. Prices are expected to stay at the current level through 2011, it said.
Home values across Australian capital cities rose 8 percent in the year ended Aug. 31 because of faster population growth and constrained supply in one of the few economies to skirt last year’s global recession. Organizations including Westpac Banking Corp., Commonwealth Bank of Australia and Fitch Ratings have said those factors, as well as a lack of speculative buying, will keep the market from collapsing.
I had the impression that the Chinese were speculative buyers . . .
Lots of articles/columns on exactly this topic of how stable everything will be through 2011. Timely enough, Barry Ritholtz has a column on this exact topic: Kiss your assets goodbye when certainty reigns