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Not really, most ignore the concept of price within the supply and demand equation.

That is, price will always rise because demand will ALWAYS be greater than supply. Anyone could find any argument to build their case on forever increase in demand. From that logic, it means the level of price will NEVER matter because houses are always "cheap" based on the supply and demand equation. It is never expensive.

Their logic, end of story.

Considering how much government intervention was involved in propping up the market through low interest rates and first home buyer grant, as well as the amount of stimulus in internal capital investment in China which has greatly benefit our economy, it's no longer it has not yet happened.

But does it mean it will NEVER happen?

I don't need to discuss the intervention parts. Sooner or later the artificial boost will be gone, but perhaps it would extend further. It's a human choice in this one.

And onto our economy being so resilient to the GFC largely thanks to China. Is their massive capital investment really sustainable? I am certainly not that convinced.

http://www.pivotcapital.com/reports/Chinas_Investment_Boom_the_Great_Leap_into_the_Unknown.pdf