Prices rose in Oz 20% in the year ended in Q1, faster than the prior clip of 13.5%. The RBA has been raising rates, in part to stem the frothy housing market.
Sometimes when the central bank raises, it pops the bubble. We saw that in 1929, 2000 and 2007.
Recent anecdotal data has led observers to say the housing bubble is bursting in the Lucky Country.
Mish reports on similar stories in other frothy countries in this report.