I was driving to work today when I heard that the RBA will introduce new regulations this year to curtail investment. I was in disbelief at first, then I got worried.
http://www.smh.com.au/business/property ... 0p44e.html
Having recently bought some land, I immediately thought of how this may drag prices down. Then again, before the RBA actually puts the regulations in place, there may be a last minute rush. I just don't know how this will play out.
I found this a little disturbing after watching Alan Kohler http://www.abc.net.au/news/business/kohler-report/ last night. The steep decline in the rate of house price growth in his graph really got my attention http://www.eurekareport.com.au/graphs/list .
Investors and owner-occupiers alike will feel the impact of the RBA's decisions. The detail of the regulation seems to come from the Australian Prudential Regulation Authority, but there is currently not enough detail about what the restrictions will be.
What's your take on the impact of this move by the RBA?
How do you feel about the future of prices where you live?