RBA governor 'not surprised' if property prices drop 10 per cent
The RBA governor has offered some hope that the pace of interest rate hikes would soon abate, stipulated that housing affordability issues were not the RBA's domain, and said a fall of 10 per cent in national property prices would be of little surprise.
In a wide-ranging speech, RBA Governor Philip Lowe has distanced himself from Australia's housing affordability issues and defended the interest rate decision-making process. (Image source: Shutterstock.com)
Reserve Bank of Australia (RBA) Governor Philip Lowe stepped out of his comfort zone to offer an opinion on property prices and his projection was not as dramatic as that made by many economists and commentators.
He said he would “not be surprised” if national real estate values tumbled by 10 per cent, while also saying the pace of interest rate hikes was about to slow.
“It’s hard to forecast asset prices and prices went up 25 per cent over the…
