Weakness could emerge in Australian house prices in the second half of 2024, especially in Sydney and Melbourne, with the Reserve Bank of Australia (RBA) potentially keeping interest rates on hold until the year’s end given the persistence of inflation across the nation.

The RBA could deny homeowners a rate cut this year given excess spending and demand in the economy, which is keeping inflation about its 2 per cent to 3 per cent band. Inflation in Australia remains sticky, especially services inflation, as the RBA pointed out at its May interest-rate setting........

© The Sydney Morning Herald