How Much Will House Prices Fall? Australian Investor Series with Dr Sam Wylie

How Much Will Australian House Prices Fall?

Will house prices fall by 20% or more, as many pundits are predicting? Those predictions go against the historical record and against economic reasoning. In particular, they fail to take account of the impact of housing supply withdrawal and inflation expectations on the housing market. It is more likely that house prices will suffer single digit percentage falls, and then remain flat (in real terms) for an extended period of a decade or more. Investors need to position themselves for a long period of low growth in house prices.

[frankdoyle]

Sam Wyllie cutting through to reality. What a legend!

[julieegonidis]

This was hugely insightful and look forward to more valuable insights 👍🏽 thank you

[kirkmacmanus]

This video looks past all the hype about the property market and presents only the clear fundamentals. Makes it much easier to have a clear view of what properties prices are likely to do in Australia going forward.

[frankdoyle]

Quick one, why is the withdrawal of supply of houses a shift to the left of the supply curve, and not just a new equilibrium on the regular old upward sloping supply curve?

[kidinacage]

So the circulating supply of the asset, changes in relation to market conditions.

Essentially a self correcting asset class.

Great vid. Cheers.