Australian home prices are rising at the fastest pace in more than three years.
Australian houses are 7 per cent overvalued based on long-term trends, said AMP Capital Investors Ltd.
Australian homes are the sixth most overvalued globally, and the house-price-to-income ratio was 21 per cent above its long-term average, according to the OECD.
“I wouldn’t put housing in bubble territory,” said Gavin Slater, head of NAB’s retail bank.
“Growth rates of 4 per cent to 4.5 per cent in mortgages probably doesn’t appear unreasonable.”
Source: Bloomberg
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