Inflation is increasing around the world and inevitably, interest rates are gradually creeping up with it.
As of now, America’s inflation is at 7% (the highest it’s been in 40 years), in the UK, Canada and New Zealand it crept up to 5% and recently, Australia’s has increased to 3.5%.
The 1970s taught us that prolonged inflation periods can be very debilitating, cause a lot of economic uncertainty and see people spend lots of time and energy trying to avoid it.
So, how will a surge in inflation affect first-home buyers and the mortgagee?
On today’s Briefing, we are joined by Shane Wilson, AMP’s Head of Investment Strategy and Chief Economist to answer the question on everyone’s lips: are we looking at an impending housing market crash?