houses will never be affordable rba, page-30

"IMO the reason houses sell for these prices is because ppl are prepared to pay that much for them"

the only reason house prices are so high is because people can get the money to pay these prices

take away the easy credit and the low interest rates and there is nothing to hold the prices up

we now have high interest rates and a credit squeeze

people can not possibly pay the prices they have been paying

also a lot of people already in houses with big mortgages are likely to throw in the towel and sell their properties

the end result will an increase in the supply of houses on the market, a massive contraction in demand due to high prices and higher interest rates and tight ceedit which will result in falling prices.