WORST- CASE SCE­NARIO

Money Magazine Australia - - WHAT IF? -

As the Re­serve Bank has pointed out, in­vestors can am­plify both the ups and downs of prop­erty cy­cles, gen­er­at­ing ad­di­tional risks to the health of the econ­omy. As ris­ing prices draw more in­vestors into the mar­ket, house­hold in­debt­ed­ness is ris­ing, mak­ing highly lever­aged bor­row­ers more vul­ner­a­ble to any down­turn.

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