Fitch Ratings, one of the world's major credit ratings agencies forecasts Australian house prices would fall by another 5 per cent this year after house prices have already dropped by 6.7 per cent since their peak.
In a report, Fitch ratings believes the drop in Australian house prices this year would be the worst in the world.
It said Australia’s house debt-to-GDP ratio is at 121 per cent and it would be a risk to the nation’s economy.
Fitch said the price will stabilise in 2020 thanks to trend GDP growth and strong net migration.
