Mr Edwards, who has monitored the nation's property market for 25 years, said the pain for Melbourne home owners was far from over.
By the time the market bottoms at the end of next year, Residex expects the city's median house price to have shed 15 per cent. Families living in a $500,000 home can expect to see $75,000 wiped from its value.
"The adjustment process in Melbourne is just beginning," Mr Edwards said.
