Goldman Sachs GroupThe Australian housing market could peak later next year and then enter a period of stagnation to show the impact of increased supply and tighter lending, the group said.
Economists such as Goldman Sachs Group, such as Andrew Boak, predict that Australian house prices will rise 22 per cent this year, then slow to 5 per cent in 2022, flat by 2023, and then fall by 2 per cent the following year.
Goldman Sachs Group expects Australian banking regulators to impose loan restrictions next year based on loan-to-valuation and debt-to-income ratios.
The RBA has kept its key interest rate at a record low of 0.1 per cent since November 2020 and hinted that it is unlikely to start raising borrowing costs until at least 2024. Policymakers have made it clear that monetary policy is focused on trying to boost employment and wages rather than on dealing with soaring house prices.