sixty minutes, page-36

its simple

Australian housing is over valued by bout double..

its at a 1:7 ratio, with no reason for it.

a drop back to normal 1:3 - 1:4 ratio's is a 30% - 40% drop, why is that so hard to belive?


if housing wasnt so over valued, we wouldnt be in this economic mess and banks wouldnt need to cut interest rates to try and get some money being pumped into the economy.

to say it wont happen is idiotic. oil doubled in value, it didnt stay there long because there is not enough demand to hold it up there, just like housing, it trend moves a lot slower than any other item, but if it over values by double, whats going to stop it halving in value..