Australia’s housing market is flashing warning signs of a major crisis, with data release earlier this week of slumping construction starts a replay of conditions in the U.S. shortly before its real-estate crash, according to noted scholar and financial author Steve Keen.
“Construction is collapsing, but the supply of properties that haven’t sold is exploding like crazy,” University of Western Sydney finance professor Keen told MarketWatch, citing to back-to-back months of weakening housing starts.
