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The exponential boom in price is the focus of this study. The study is aimed at finding out some of the factors that influence the market prices of property in Sydney, Australia. The earmarked research questions include:
How does the Sydney price index influence the market price of property in Sydney?
How does the annual percentage change in the Sydney price index affect the market prices of property in Sydney?
How does the total number of square meters influence the market price of property in Sydney?
How does the age of houses (years) affect the market price of property in Sydney?
Current Research has found out that Sydney is among one of the world’s most overvalued cities for real estate (Grybauskas & Plinkiene, 2018). Thus, Engsted, Hviid & Pedersen (2016) stated that this phenomenon makes it almost impossible for a millennial to ever own a house in Sydney. According to the Duke & Robertson (2018), the property prices in Sydney are overvalued by 50 percent compared to the average earnings. The reason for this property boom is attributed to demand, supply and the cost of money (Jones, Cowe & Trevillion, 2018). Moreover, foreign investment has acted as a key driver in boosting the high market prices of property in the City (Rogers, Lee & Yan, 2015) - Read More
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