RBA uses strongest language yet to warn of housing 'risks'
As ABS data confirms that property prices are rising strongly in some cities, the minutes of the March Reserve Bank board meeting flags concerns about the "build-up of risks" in the housing market.
"We have had the strongest period of supply for close to a decade and that’s feeding into a moderation of house price growth," says The Property Council's Chief of Policy and Housing, Glenn Byres.
If we abolish or restrict negative gearing, the potential for investors to choose other asset classes instead of property could exacerbate the already slowing trend of investor lending.