properth prices to collapse - worth buying now, page-6

Stocks are looking shaky at the moment too though. A lot hinges on China. The past 3 trading sessions have shed over 500 points from the DJIA on fears of China tightening their lending.
If it's harder to get money, banks have to charge more interest for it. Interest goes up, borrowing power goes down.
Banks are also starting to protect themselves from bad debt and make borrowers raise a higher deposit. So far only Westpac has done this, but would not be surprised if this becomes the norm.
You make your own judgement, with less accessable money to purchase housing, will they continue to go up? With less buyers in the market, will house prices go up?
Whether house prices will rise or fall in the short to medium term has been discussed in this forum at length, my thought is that a catalyst is needed for a major correction. The reduction of the FHBG and rising interest should put a halt to price rises, but I think it will take external factors for a dramatic fall of 40% that some are suggesting...like I said though, China is starting to look shaky