The RBA wants residential construction to pick up.
Established house prices must rise before residential construction picks up.
Therefore, the RBA has no choice but to increase established house prices.
Furthermore, the RBA, nor myself, see the broader housing market booming in the next few years due to variable rates coming down another 0.5%-1% (i.e. 15%-20%pa price growth).
3%-4%pa price growth should be expected for the next few years though, which is what the RBA is probably aiming for, even if the RBA doesn't say that in its media releases.
