Sydney’s market weakness became even worse in November, Bloomberg reports. Prices for houses nationwide showed the biggest monthly decline since global financial crisis.

Home values fell by 0,7% last month. Sydney is leading with 1,4% decline, Melbourne follows with 1% loss.

As a result, total price drop in Sydney is 9,5% from the peak value in July of 2017. And this is almost equal to 9,6% decline shown during recession 27 years ago.

It shall be noted that peak sales season usually starts in November. This is why this decline provides obvious signal of market weakness.

However, due to recent market boom, prices now returned to 2016 level.

Tighter credit rules are the main restriction that puts downside pressures on the market prices.

There is little hope that investors will return to the market as perspectives for capital gains are fading, credits are getting more expensive and tax breaks may be cut.

Meanwhile, such market weakness is a good news for first house buyers, which finally can realize their dreams.