intersting. its really not the homeowners, distressed 2009 FHB's that need to worry about house prices. the aussie spirit says that they will work harder and scrounge to pay back the bank with interest even as they come under stress..
no, its the banks that are worried about house prices. after all, they are the ones that hold the gap between the amount of real, actual money out there (i.e. deposits, repayments) and the inflated property price. the gap is that "created out of nowhere" debt and they will be the bagholders if property drops.
not surprised to see them trying anything to keep prices from falling. won't be surprised to see them change the rules or take a dishonest approach to leaning on valuers. if their valuer says the house is worth x then their LVR is still intact!!! none of this mark to market bizniz
