Why Australia’s Property Market Is Booming

Mar.02 — House prices in Australia’s biggest cities are on a tear. In the financial capital, Sydney, they’ve risen 73 percent over five years, ranking it second only to Hong Kong as the world’s least affordable housing market. The property boom has increasingly pushed the traditional norm of homeownership beyond the reach of average earners. Residential property accounts for 40 percent to 60 percent of loans by the major banks, making house prices a matter not just of politics but financial stability.