"Australia is the only country we know of where middle-class houses are auctioned like paintings." Credit:Fiona Morris And a rising share of these mortgages are 'interest only' loans "The Australian housing bubble could not have become as ridiculous as it is without the help of easy financing," he writes.

"Over the past few years, over 40 per cent of all new mortgages originated have been interest-only mortgages. "This is truly Ponzi financing, where home buyers only make money if their houses keep rising in value," he writes, later describing interest only loans as a "disaster waiting to happen." The negative gearing effect... It is one of the most contentious issues in the national political discourse at the moment.

Tepper likens negative gearing - the ability to claim losses on leveraged investment properties as a tax deduction - to startups during the dot com bubble burning through their cash. "Only in a bubble could losing money on housing be viewed as positive," he writes. Housing prices are totally out of whack with...everything They keep going up.

And up. But almost everything else - wages, GDP, and rental income, else remains relatively stagnant. Except for debt, of course "It is very difficult for a foreigner to understand just how crazy the Australian housing bubble is." he writes.

"You have to be there to observe the mania first hand. Australia is the only country we know of where middle-class houses are auctioned like paintings." It's not like we are getting too reliant on property, or anything....