The Australian housing market - understanding the causes and effects of rising prices
Article
Article Title | The Australian housing market - understanding the causes and effects of rising prices |
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ERA Journal ID | 35949 |
Article Category | Article |
Authors | |
Author | Rahman, Mohammad Mafizur |
Journal Title | Policy Studies |
Journal Citation | 31 (5), pp. 577-590 |
Number of Pages | 14 |
Year | 2010 |
Place of Publication | United Kingdom |
ISSN | 0144-2872 |
1470-1006 | |
Digital Object Identifier (DOI) | https://doi.org/10.1080/01442872.2010.497261 |
Web Address (URL) | https://www.tandfonline.com/doi/full/10.1080/01442872.2010.497261 |
Abstract | This article analyses current housing market conditions in Australia; specifically the factors that have caused increased housing prices in recent years and there implications. The article finds that the number of home-owners with a mortgage and the number of renters have increased. For owners with a mortgage, average housing costs escalated substantially. Interest rates, investment demand, economic climate, financial deregulation and innovation, land supply and the land-use planning system, government taxes, levies and charges, demography, economic growth, and wealth effect all play a vital role in influencing housing prices. Rising house prices positively impact on home owners’ wealth, aggregate demand, employment and real GDP, and reduce affordability of first home buyers and well-beings of Australians in aggregate. It is argued that increasing the supply of housing, approval of tax-free savings for first home buyers, regional development and reduction of government taxes, levies and charges should be the focus of future policy development to redress these problems. |
Keywords | Australia; housing market; housing policy; housing prices |
ANZSRC Field of Research 2020 | 350208. Investment and risk management |
380199. Applied economics not elsewhere classified | |
380304. Microeconomic theory | |
Public Notes | Files associated with this item cannot be displayed due to copyright restrictions. |
Byline Affiliations | School of Accounting, Economics and Finance |
https://research.usq.edu.au/item/q0232/the-australian-housing-market-understanding-the-causes-and-effects-of-rising-prices
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