PHOTO: The housing market contraction poses a threat to Australia’s 27-year streak of economic growth. © Reuters
December marks sharpest fall in 35 years, casting shadow on economy’s resilience
SYDNEY — Australia’s housing prices staged the largest monthly drop in 35 years during December as a slowdown in Chinese investment helped push a cooling market into a deep freeze.
The market contraction could undermine Australia’s economy, which has been on an upswing for 27 consecutive years.
Housing prices in eight major Australian cities fell 1.3% in December from the previous month, according to property data provider CoreLogic. This drop represents the biggest month-on-month retreat since 1983, says Morgan Stanley.
READ MORE VIA Nikkei