37% of Australians want house prices to drop

by 30 Nov 2017

Australians seem split as to where they want property prices to go with a recent survey by ME finding 38% want prices to increase while 37% want them to fall.

The research, which polled 1,500 Australian adults, also found that 43% said they were reliant on future house prices to achieve their life and financial goals. An additional 10% said that they were ‘completely reliant’.

The research found the degree of this reliance depends on the individual’s property ownership status. Thirty-nine per cent of owner-occupiers, 47% of investors, and 48% of those who don’t own property said they were financial dependent on property price changes in the future.

There was a gap between younger and older Australians too with 51% of millennials (25 to 39 year olds) expressing their reliance on property price shifts compared to only 30% of baby boomers (55 to 74 year olds).

While traditionally Australians have been divided into either property owners who want prices to rise or non-owners who want them to fall, ME home loan expert Patrick Nolan said that views were changing as high prices affected housing affordability.

“That property owners were willing to see asset values fall is a sure sign house prices had reached heights many think are unfair,” he said.

ME found that only 28% of Australians would benefit if property prices rose while 47% would benefit if they fell.

Despite this shift, the majority of those wanting prices to increase own property themselves, including 49% of owner occupiers and 55% of investors.

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