Australia was still to some extent seen as an economic backwater by many Europeans, yet we all know what happened during the next decade.
(1) forecasting commodity prices is a fool's errand; and
(2) attempting to anticipate currency movements is a mug's game.
Aussie dollar to weaken?
This is partly reflective of the fact that - exclusive of financing hurdles and any personal tax planning considerations - there are very few logistical barriers to entry in the London real estate markets for overseas purchasers.
However, a currency which has been weakened substantially by a prolonged recession, but is now strengthening again at pace can see foreign investors clambering aboard demanding instant returns.