Quote:
Originally Posted by CuriousToyBoy
The sub-prime mortgage market collapse will have far reaching effects.
Doesn't reach as far as Australia on house prices, where they continue double digit large annual growth in many cases, but has effected our exchange rate with the US$ tanking ...
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Sounds much the same as the UK CTB - hard to buy *any* home for $300-350K.
But, lenders were messing with sub-prime deals and will take a hit in 2008, tho nothing like the US market. The Central Bank stepped in and raised interest rates to kill predatory sub-prime mortgages and this appears to have worked.
RE where I am is excellent and solidly into double-digit capital appreciation and unlikely to change for the forseeable future, - but that's a totally different market and not based on the economy of one country.