Undersupply Continues to Drive up Australian Property Values

Despite economic pressures, the housing market remains buoyant as an undersupply of housing has seen properties across Australia grow at an average median of $12,000 (US$7,800) since the end of 2023. The news of an equity increase will be welcomed by homeowners weighed down by the cost of living crisis and interest rate increases. The Reserve Bank has now regulated the official cash rate after hiking it to curb the inflation spike from the pandemic era and agreed to hold it at 4.35 percent on 20 March. One of the primary drivers of the housing crisis in Australia is the imbalance between housing demand and supply....