20TH Feb 2019 1421NBD comment: Ahh love a blood bath: Loved the...

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    20TH Feb 2019 1421

    NBD comment: Ahh love a blood bath: Loved the GFC:
    Bar gains galor "El Fank YOu muchO:

    ‘Let the bloodbath begin’: House prices in Sydney and Melbourne ‘could halve’ in worst crash since 1890s


    House prices could fall by more than 40 per cent in the “worst crash since the 1890s depression”, a new report warns. We’re now in stage two of the “bloodbath”.

    [SIC] part:
    property bloodbath”, an economist has warned.LF Economics founder Lindsay David, who has been warning of the looming property crash for the past five years, said in a report today the recent house price falls were just the beginning.

    CoreLogic data for January showed Sydney and Melbourne prices were now 12.3 per cent and 8.7 per cent down from their respective peaks in July and November 2017, with Melbourne falling at “the fastest rate ever seen”.

    “We think there’s a chance property prices could fall by half in Sydney and Melbourne over the long run,” Mr David said. “I wouldn’t be surprised by falls of at least 40 per cent. When all hell breaks loose you’ve only got so many buyers out there.

    ”His base case of 20 per cent falls in calendar 2019 is significantly more bearish than other experts. AMP Capital is tipping total peak-to-trough falls of 25 per cent in Sydney and Melbourne, while UBS is tipping 25 per cent with a “rising risk of 30 per cent”.

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