RBA deputy governor Ric Battellino told an Urban Development Institute of Australia event Australian housing prices dipped just 3 per cent in 2008, compared with 20 per cent falls seen in Britain and the United States.
Residential values are likely to be sustained in the short and medium term, because of a shortage of available homes in the face of rising demand.
Mr Battellino said strict lending standards by Australian Banks, means the majority of Australians who took out loans have been able to afford the repayments.
However he warned arrears on mortgage repayments may increase in Australia moving foward, as the full effects of rising unemployment takes effect.
To ease the burden, the RBA has almost halved interest rates since September from 7.25 per cent to 3.25 per cent currently.