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Landlord boom a bigger risk for Australian bad debts than businesses

Level of Aussie household indebtedness now higher than in other developed nations

CoreLogic Inc says home prices across Australia's capital cities have climbed 28% in the three years to Sept 30, with prices in Sydney (above) jumping 44%. But price growth is starting to slow.


THE boom in Australian buy-to-let mortgages that has helped fuel record household borrowing could be the next driver of bank bad debts rather than corporate defaults.

While business loan losses were behind the biggest bad debt cycles in the past three decades, according to a