I will freely admit that there is a housing bubble in Australia, but at this point it does not seem it will burst, IMO not for the next 3 - 5 years in the least.
Raising interest rates will most definitely stabilise it and in some cases draw the cost of housing back. But a drop of approx. 30% will not occur until the housing shortage in the capital cities of Aus is addressed, or the culture of Aus residents and businesses changes with a greater move to regional centres.
