With home prices at record highs and affordability at record lows, many Australians are wondering: what’s really driving the housing crisis?
In a recent article, Ainslie Bullion suggests that the problem isn’t just housing policy—it’s the value of money itself. Their argument is simple but powerful: if we look at house prices measured in gold, rather than dollars, prices haven’t skyrocketed nearly as much as they appear to.
Gold vs. the Aussie dollar
According to Ainslie, the rapid rise in house prices is largely due to the declining purchasing power of fiat currency—like the Australian dollar—which has been steadily inflated over time. Gold, on the other hand, holds its value over the long term.
In fact, when measured in gold ounces, housing prices in Australia have been surprisingly stable since the 1970s. The apparent price explosion, they argue, is more about what’s happening to the dollar than what’s happening to property itself.
What does this mean for SMSF investors?
While Ainslie’s view may not reflect everyone’s position, it raises an important point for anyone managing a self-managed super fund: how do you protect long-term purchasing power?
Whether or not you agree with the gold-vs-property argument, gold has long been seen as a hedge against:
Inflation
Currency risk
Market volatility
It’s possible to hold physical bullion or digital gold tokens (like Ainslie’s AUS or AGS) within an SMSF structure—something many trustees are exploring as part of a diversified portfolio.
Final thoughts
Ainslie Bullion’s analysis offers an alternative lens on the housing crisis—and a reminder that the real issue may lie in the value of the money we use to measure it. Gold may not solve the housing shortage, but it can help preserve the value of your savings in uncertain economic times.
Ready to explore how gold fits into your retirement plan?
At Freedom FFS, we help clients set up and manage SMSFs to build long-term wealth for retirement—legally, efficiently, and with confidence. If you’re considering adding gold to your fund, Ainslie Bullion offers both physical bullion and digital gold tokens that can be held within your SMSF.
Want to know more? Talk to Mary-Jane, New SMSF Setup Consult > book your free consult here.
