...."This means a property advertised for $500,000 could be discounted $32,500"....
The reality is the property is overpriced by about 60% in the first place. The true reserve price is probably around 400,000 in terms of what the vendor would let go at.
For it to be somewhat attractive, the asking price should be around $230,000 for something like this. This will happen by late 2013.
Problem is by then, you would not have the stomach to pay $230K for something like this in Clayton where plenty of properties are rotting much more desirable suburbs.
