PHOTO: With house prices falling fast, consumers have become more conservative. And there’ll be fewer new homes being built – especially apartments

Doubts over the election promises made by the Coalition and Labor have been raised with new predictions the Australian economy is softening on the back of falling house prices and stagnant wages.

Ahead of a warning from shadow treasurer Chris Bowen that the Coalition’s tax cut plans would drive the budget into the red if the economy weakened, forecasts from Deloitte Access Economics point to budget problems that may curtail expensive vote winners.