The Reserve Bank of Australia (RBA) Deputy Governor Philip Lowe warned on Wednesday that an increase in property prices could hurt the country's economy if there are no income rises.

"Ever-rising housing prices, relative to our incomes, do increase risks in the economy and are unlikely to make us better off as a nation. Rising housing prices are best matched by rising incomes," he said.

Low also said that an extended period of low interest rates lead to low returns to savers and low underlying returns on assets.