As Investors Flee Australia’s Housing Bust, Sales of New Houses Plunge to Record Low

As Investors Flee Australia’s Housing Bust, Sales of New Houses Plunge to Record Low, by Wolf Richter.

Given these price drops — in Sydney, prices have already fallen by the double digits — and the regulatory crackdown [on banks], investors no longer have the hots for speculating in this market, and banks no longer have the hots for lending to them. …

The downward momentum is picking up.

Prices of more expensive homes are falling faster: Prices in the upper quartile of the market fell 10.0% [in calendar 2018]; prices in the lower quartile of the market fell 6.8%.