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Oz house prices falling fast

 This is from CoreLogic's house price indices.  I've shown metropolitan Melbourne's index and the 5 major metropolitan areas index.   Since interest rates in Australia are likely to go on rising until inflation slows, house prices here are likely to continue to fall for many months.

The consensus is that house prices won't fall very much further.  But then at the peak in prices, the consensus was that prices wouldn't fall.  The cash rate has gone from near zero to 1.85%, and is certain to rise again.  But it's not just that --- our economy is very likely to go into recession, and wages are rising much more slowly than inflation.  Bad news for house prices.

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