It's the fact that it's unaffordable for the majority of...

It's the fact that it's unaffordable for the majority of Australians that it is a problem. You don't need to convince me that those on $40K couldn't afford today's houses. It's because they cannot afford it that the property market will collapse.

Median household income is $80k? After taxes, food, fuel, heat, rates, fees, phones and it'll be $50k? 5% interest on $1M is $50K.

The only thing for certain in life is death, taxes, mortgage repayment and ever rising power and utility bills.

Job security, pay rise... those aren't guaranteed.

Now...

If an investor who could afford mortgage on property for $1M today... who are they going to sell it to later? Someone else just as rich as they are? Would such buyers be caught dead walking along those streets? They certainly aren't going to live there. So they'll rent it out? For how much and for how long to make the investment worthwhile? Interest rate doesn't look like it's going to remain low for too much longer.

Let say they're rich so could handle the heat.

What happen to all those new apartments that's popping up just about everywhere. Are there currently homeless people we don't know about? There are renters or savers who would soon be able to fill those apartments. So rentals will either have to go down or investment properties will have to be sold at a lost.

I know, properties in Australia has never drop by much for the past 30 years. So it is unlikely to.
That's like saying I've always been young and healthy so I will never grow old or get sick. Or that I've been living all these years so I wouldn't be dead one day.