Homeowners across Australia facing the prospect of negative equity in their property should not stress, as it is only a problem if they come to sell.
Australian Property Investor reports that this week's JP Morgan Australian Mortgage Industry Report Volume 16 has highlighted a growing number of negative equity cases across the country at present as a result of stagnant capital growth.
However, commentators have claimed this should not be a problem for homeowners, as the markets will likely recover in the years ahead.
"The real picture is in looking at the equity position over eight years, because six to eight years is the average for property turnover in Australia," commented Australian Property Monitors senior economist Andrew Wilson.
Rismark International chief executive officer Ben Skilbeck recently told the news provider that a concerted rise in property values is being witnessed in the country's state capitals, with a 1.4 per cent increase recorded in September.
Posted by Craig Francis
