“One of the big things is high-density housing, and that, by its nature, takes much longer. So it is not something that you can just turn the switch and say we’re off and running. It takes time,” she said.
While responding to Greens senator Nick McKim on whether demand-side policy settings were inflating prices, Bullock declined to provide direct policy recommendations.
“I don’t think, Senator, it is my job to tell the government what they should do with their policies,” she said. “I would not accept that the Reserve Bank is responsible for the housing price issues in this country.”
Bullock also dismissed suggestions that government-backed low-deposit schemes posed a systemic risk, saying they were fully covered. “The government guarantees the loan,” she said.
What it means for mortgage professionals
Bullock’s remarks point to a finely balanced outlook for both interest rates and property markets. Inflation remains sensitive to shifts in growth, but the RBA is also watching credit expansion and investor leverage closely.