Here are some quotes from the Sun Herald in Sydney, Domain section. These guys are supposed to be the property bulls.
"Thought the sale price was a bit below what we valued it at a couple of months ago, the market has since changed."
"Despite the increase in market activity since the announcement of an increase for first home buyers and reduced interest rates, buyers appear to remain reluctant to commit because of concerns about the global economy"
"many buyers are still holding off for a better price"
"Potential home buyers need to scrutinise their financial situation more carefully than ever. Questions such as what does another 3 or 4% fall in median house prices mean for me relative to buying now and receiving extra money from the Government? Will my employment prospects be affected by the global economic slowdown? And can I realistically afford the house I want given my income and my willingness to buy in at historically overinflated prices"
House prices are overinflated and falling, that is why the Australian Government is dishing out more money to try to avoid a property crash that has already been witnessed in America and the UK.
How much further are house and unit prices going to fall across the country?
Are we going to see more falls due to rising unemployment, and an increase in properties on the market from investors desperately wanting to get out, will it spiral downward over the next 12 months?
When is enough enough and investors sell because the loan repayments are double what the property is worth on the market?
