Arabic version: أسعار المنازل الأسترالية تواجه تراجعاً تاريخياً بنسبة 10%

According to The Guardian, Australian house prices are falling in more than 90% of suburbs, based on new Cotality data, as economists expect the property-market downturn to continue.

The decline has raised the prospect of a 10% fall in house prices, described as potentially the steepest property-market downturn in history. Analysts expect the slide to persist while borrowing costs remain higher and the economy is weak.

Economists say the Reserve Bank is still expected to deliver a fourth interest-rate increase as it seeks to bring inflation back under control. The prospect of a historic property downturn is not expected to halt that move.

The market is facing what the report describes as a perfect storm: higher borrowing costs, a weak economy and a once-in-a-generation change in the tax treatment of property investors. Together, those pressures have contributed to price falls across the vast majority of Australian suburbs.