In most cities – especially Sydney and Melbourne – rents for apartments are falling, while rents for houses are generally rising (Graph 7). The apartment markets are more affected by the lower population growth and fewer foreign students and by young adults staying at home with their parents. There has also been an increase in demand for houses as people work from home.
*  *  *  The mortgage market has long been a source of strength in the U.S. economy, but it is facing significant challenges, especially in the subprime segment that serves consumers who have shorter or weaker credit records.