House Prices Increase Theory

[yellina]

Dear Members,

I have been working on theory of House prices increases in any given country, Please comment on your thoughts.

I have been researching on a Theory on House Price Increases.

House Price Increase = Inflation + Interest rate (RBA). Taking 10 years intervals at a time.

Thank you
Hari Yellina.

 

[devank]

What did you find so far?

 

[yellina]

What did you find so far?

Dear Devank,

So far, If you take 10 years period in any country. My theory is holding up.

Thats the reason in Developing countries we see more capital growth. Their inflation and Interest rates are very high.

Due to maximum leverage in Western Countries we are able to match up to the growth in Developing countries.

Sometime, House price can rise more than Inflation + Interest Rate , But they will correct them selves in 10 years period.

This analysis, I have done on Capital Cities, This wont work with Mining towns.

Rare exceptions are to be considered as well.

Thank you
Hari yellina

 

[grand dad]

There was an interesting academic Dutch study that looked at documented inflation-adjusted prices going back over three centuries. Google is your friend. Shukria

 

[vaughan]

Dear Members,

I have been working on theory of House prices increases in any given country, Please comment on your thoughts.

I have been researching on a Theory on House Price Increases.

House Price Increase = Inflation + Interest rate (RBA). Taking 10 years intervals at a time.

Thank you
Hari Yellina.

This is a joke, right?

 

[topcropper]

Dear Members,

I have been working on theory of House prices increases in any given country, Please comment on your thoughts.

I have been researching on a Theory on House Price Increases.

House Price Increase = Inflation + Interest rate (RBA). Taking 10 years intervals at a time.

Thank you
Hari Yellina.

There was a period from about 1997 to 2003 which saw a house price boom in Sydney and a bit later in other areas.




This period had low inflation and low interest rates, so it wouldn't really fit with your theory.


See ya's.

 

[Singo]

This is a joke, right?

Of course