Nice summary article, although they neglected to mention the recent rapid *growth* in household debt. It's not just that consumer debt is high, but that this isn't the normal state of affairs, other positives aside. I don't know how the Australians are hanging on now, imagine carrying a 155% debt-to-income load (higher than the U.S. and Canada) at Australian interest rates, not at essentially zero % interest rates. Yowsa.
Australia’s Home Price Slump Pits Local Bank Bulls Against Foreign Bears
In the end what will sink the market is the foreign lack of appetite for Australian mortgage debt coupled with declining household creation. Interest rate increases need not apply.