Not depressing for your new entrants(or potential) to the property market, for the last 5+ years, FHB's have been saving hard and watching house prices rise $600 a week, more than they can save on a weekly basis.
A 2% fall on the median price may not seem much but if your saving $400pw to buy a home then consider it equal to the value of $600 if not more for some areas.
The beauty of cash in a a depressed market.
