And then they was One!

I've often written that Canada and Australia are the two outliers in the OECD world, both economies not only survived the 2008 recession but have thrived since. Well things in Australia are taken a turn for the worse. Already, earlier this summer the red hot Australian real estate market seem to take a pause. Now, we are seeing a massive swing in negative territory for discretionary expenditures, as Australian begin to address their debt burden.

I must also point out that Australian house price are at multiple levels higher than Canada's. From memory the House Price to income ratio in Sydney (the worse, but not the only one) is around 9x (it's only around this level in Vancouver).

That leaves Canada as the last OECD country where house prices are still rising!

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