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Red flags for housing: report

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Signs of stress are emerging in the property market as the top end of the market begins to falter, according to The Australian Financial Review.

Top-end buyers’ agent David Morrell said that activity was waning for homes priced above $3 million, though the more affordable area of the market remains strong.

“There is caution and the red flags have gone up; the smarter-money set is not getting carried away,” he told the AFR. “The talk isn’t interest rates at the top end, it’s the stockmarket, and people are also paying a lot of attention to Russia. While it doesn’t directly affect our market, it makes people uncertain.”

Clearance rates in Sydney remained high on the weekend, while clearance rates in Melbourne dipped amid much higher volumes ahead of Easter.

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Signs of stress in upper end of market after strong 12-month period.

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