The World's Largest Property Bubble
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The World’s Largest Property Bubble

Where does Australia’s housing market rank on the inflated list.

By Terry Christodoulou
Tue, Jun 22, 2021Grey Clock < 1 min

Australia’s housing market seems to be setting a new record every week, enjoying a prosperous surge in the last 12 months.

While cries of a housing bubble and a housing affordability crisis grow louder, a Bloomberg Economics Report highlights other international markets faring worse.

According to the report, the award for biggest housing bubble lands with pacific neighbours, New Zealand.

Other countries to top the list included Canada, Sweden Norway, United Kingdom and Denmark, with Australia down in 15th.

The study looked at each country’s home price to rent ratio and price to income ratio in an effort to decipher if recent price gains were sustainable, or if markets would be at risk of a correction.

It’s not only Australia that has seen prices rise rapidly, with global house prices boosted by record-low interest rates and a surge in stimulus from central banks inflating prices.

Bloomberg Economist Niraj Shah feels that there is a range of factors causing this global rise.

“A cocktail of ingredients is sending house prices to unprecedented levels worldwide,” Mr Shah said.

The Bloomberg report also points out that in many countries price ratios are now higher than 2007-2008s Global Financial Crisis, indicating that current prices might not be sustainable in the long-term.

See the full list below:

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By Robyn Willis
Fri, Aug 19, 2022 < 1 min

Treechangers seeking a home and income should take note of this west coast property in picturesque Pickering Brook in the Perth Hills, which comes with its own live-in residents.

Known as ‘the Margaret River of the Hills’ the area boasts stunning bushland while being just 30 minutes from all the amenity Perth has to offer.

With eight bedrooms and 10 bathrooms, this property is a home and business, operating as a thriving day spa, Hidden Valley Eco Lodges and Day Spa.

The private main residence is made of rammed earth for thermal comfort and has three bedrooms, luxurious bathroom and a large open plan living area. A private jacuzzi on the spacious entertaining deck is the perfect spot for enjoying beautiful bushland views at the end of a long day.

For day spa guests, there are four deluxe spa treatment rooms serviced by qualified staff, a reception area and lounge plus a commercial kitchen. Overnight guests can choose from five lodges with fully equipped kitchen and heated jacuzzi. As a going concern with a consistently high annual turnover, it’s a unique opportunity for the right buyer.

Set over 5.46ha, the property is also home to a very special group of residents: a small herd of alpacas, which are included in the sale.

Price guide: $6.5 million

Inspection: By expression of interest

Agent: Susanne Broido, The Agency 0499 770 237