tricky---its not so much how high housing prices are,they have always been high in a relative sense,tax ,int rates, cost of living,australia at present is living in a sunshine era, the thing i find so disappointing is the expectation of home owners in that they suppose it to be a means for almost instant capital gain---it is first and foremost a haven to live in beyond that it is pure speculation,you could paint financial pictures using various alternate criteria,and the best i am able to come up with is stagnation and possibly losses when taking into account the costs of buying and selling in the short term------however i am unable to find anything to suggest a broadly based devaluation, a spectacular backflip on wages, employment, the cost of greenfield development,massive int. rate hikes,and substantially higher cost of living would affect the value but not to any great degree in terms of affordability,so the clear message is get equity while you can, dont aim to high leave a satisfactory margin to gain equity in the event of a 12% int. rate climate,which i doubt will be forthcoming anytime soon
