Australia house prices world\\\'s second highest

Australian house price rises are among the highest in the world but a new report warns homes here could be overvalued. The Bank of International Settlements, known as the central bank for central banks, says Australian house price growth was second only to Norway. But stripping out the effects of inflation, Australia's real property price growth rate was almost flat in the past three years, the report said. The BIS data, which covered 29 countries, also shows that Australia's housing prices were unusually high relative to rents, along with Norway, Canada and Sweden. 'This could be a reason to expect a price correction in the future,' the report said. Australian house prices, particularly in Sydney and Melbourne, have risen sharply in the past 18 months while wage growth has been subdued, according to skynews.com