In an interview on Thursday morning, The ABC's Fran Kelly asked whether Harvey Norman investors should worry about economist's predictions that house prices on the east coast are due for a correction.

"Interest rates, I think, are heading to zero, and the inflation rate does not look like being very high for a long time so why would house prices crash?" said Harvey who has added $1 billion to his net worth since 2013 on the back of his company's rising share price.

"There is no guarantee it will fall at all," he said of the housing demand which is helping feed a renovation boom that boosted the company's earnings before interest and tax by 27 per cent to $522.5 million.

Our ever-optimistic retailer has further assurances for home owners and his investors worried about a potential correction.

"All I know after looking at the economy for 56 years now is that things always come back and exceed their highs some years later," he said.

Of course, not everything will necessarily "come back" from a fall.

Take Harvey's punt on the transportable mining accommodation business in 2012 - on behalf of his fellow investors - just as the bust loomed on the horizon.

And last year, Harvey claimed that "overall, we're in front on the dongas" as he was justifying his expansion into dairy.

He won't be saying the same thing this year.

The company reported impairment losses totalling $32.5 million last year, with more than $19 million related to the mining accommodation business.

At least the move helped reduce the reported losses from the mining accommodation business last year which has produced $5.5 million of red ink over the past two years.

"Commodity prices are inherently volatile. The provision of services to the mining industry is inherently risky," acknowledged Harvey Norman in its financial report.

The business "will continue to identify and evaluate alternative uses for the accommodation assets to minimise future losses," it explained.

Is it time to consider retirement homes?

Now back to the milk venture Harvey announced last year.

Harvey Norman reported $2.7 million in "start-up" losses from its operation which comprises a dairy farm, pedigree breeding and a genetics division.

The group pointed out key business risks related to its dairy dalliance, including "volatility in the milk price" and its impact on the returns of its venture, Coomboona Holdings.

"The market price for milk has declined and the expected returns on milk production may be reduced depending on production volumes. In addition, the future timing and development of the dairy to optimal scale may be impacted by current trends in commodity prices."