aussie house prices most expensive by far, page-13

Are houses over priced or rents to low????

When compared with wages and the historical amount people pay for rent

I think you will find the houses are over priced.

Either wages need to go up and therefore the percentage people pay in rent can also increase, however this would have the potential to cause infaltion which would lead to interest rate increases - not good for the housing market

or

House prices need to fall

either way there will be problems ahead for housing investment