Bit of a credibilty problem there I reckon ...sure you would agree.
The same commentary in our local rag comments on a drop of 8% in Melbourne but from what I understand that is after the place was on fire in real estate.
Interestingly , a few years ago , Perth suffered from this lag effect. The east would run, we were about to go and an interest rate rise stopped everything in its tracks. Actually happened 2 to 3 times but the thing people forget is a thing called pent up demand - the buyers are there and as Lord Elphus has correctly indicated everything is conspiring for it all to move forward again in the next few years. That pent up demand eventually took hold in Perth and kaboom - the Reserve Bank through its policies is actually excacerbating the boom and bust cycle through their crude policies least of which is jawboning through the ridiculous media outlets.
