'Interest rates are the primary driver of the housing market

'Interest rates are the primary driver of the housing market' - Smart Property Investment


‘Interest rates are the primary driver of the housing market’
By Reporter
09 June 2021
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1 minute read
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The housing market is pegged to interest rates rather than to a calendar cycle, The Property Nerds have revealed, noting that while unit prices follow a more cyclical process, houses do not.
“All roads lead to interest rates, which ultimately then is the primary driver of the housing market,” one-half of The Property Nerds’ duo, Kent Lardner, told Smart Property Investment.
Mr Lardner’s business partner, Arjun Paliwal, agreed.
To prove his theory, Mr Paliwal recently reviewed property growth trends over the last 25 years, calling into question the prevalent belief that property booms every eight to 10 years.

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