comparing the CPI general to house prices is simplistic and naive
several factors have added to that trend, not just pure "basket" CPI comparisons
1. Imported goods have fallin in cost thanks to the higher AUD and lost cost producers like China and India over that time...ie low cost goods. lower CPI, ie deflation
2. Building costs have escalated, esp compliance costs and costs to developers for "park" land consessions and therefore underlying land expenses. Also, we are well aware of the timber price increases well beyond general inflation last 10 years...and more recently copper and steel. however these are abating rapidly
3. The trades have enjoyed escalating hourly rates over and above CPI general due to scarcity of skilled labour last 10 years. Many articles on the new "rich" Tradies!
4. Food costs have been maintained more steadily and contained over that period, ie deflation, or neural to inflation.
