“A decline in housing investment and a decline in exports were the major factors contributing to the relatively subdued growth in the economy this quarter," says Shane Garrett, senior economist with the HIA.
There is still strong demand for property in the eastern states, says Louis Christopher, managing director of SQM Research. Sellers were simply staying out of the market in April, waiting for the holidays to end, he says.
'Sledgehammer' approach to risky lending could hurt economy: REIA
Malcolm Gunning, president of the REIA, has warned that the combined actions of APRA, ASIC and the banks could decrease demand for new properties to such an extent that housing supply dwindles and the construction sector weakens.
OECD says Australia must lift interest rates to cool housing market
Australians may face higher interest rates next year, as the The Organisation for Economic Cooperation and Development warns of the need to "unwind tensions" in the housing market.
