the inevitable housing bubble bust, page-4

serro,

Where are all these sellers going to come from for prices to plunge 40%?

Do you know what the average mortgage is in Australia? Over 35% of Aussies own their home outright. The number of owners who are or will be under mortgage stress is minor in the scheme of things....

We don't have the subprime issues, we don't have massive unemployment, we don't have massive oversupply....what is the catalyst for 40% plunge?

You can't compare Aus to contries like Spain and US. In the US we are talking over 13% unemployment in some states, and in Spain much higher. Both micro and macro circumstances are much, much different.