New housing boom tipped for H2 2009

Low interest rates, population growth and a shortage of new home construction is the perfect mix for a fresh house price bubble, says Firstfolio chief executive Mark Forsyth.

Australian might be on the brink of recession but Mr Forsyth believes a new housing boom could begin as early as in the second half of 2009.

"If you combine the last rate decrease with news that there's going to be another decrease, rental yields going through the roof, shortage of supply of property and the first home owners grant, it's a perfect storm of a positive nature," Mr Forsyth told AAP.

"We're creating the next housing boom, or bubble potentially."