Thanks all very much for your input. Some of your thoughts came in after I spoke to the agent.
I simply told him how it was, that I was starting to flag on it, some new stock coming online looked appealing, and I was firm on the 345k number because I have a budget to stick to (Ive a modest renovation in mind for the place already priced so I know my total limit).
What do you know, the sellers have agreed on my number. Assuming no last-minute shenanigans, I'll be on-contract by Wednesday.
Some personal observations: I rent in the inner west of Melbourne with my wife & 2 young kids. The market here looks pretty firm, but wouldn't say its returned to the good old days by any stretch. The place I'm (almost) buying is in Werribee, and that market is suffering. 20% price reductions are not uncommon now for well-kept homes in established estates.
The lesson: Chuck the median price stats in the bin, bargains can be found, just not where everyone else is already looking.
