According to data released from the Real Estate Institute of Victoria, the Melbourne median house price fell two percent in the March quarter. This comes amid claims the market was glowing white [hot].
On Tuesday this week, the Sydney Morning Herald said buyers were retreating from the Melbourne property market at a rate of 600 a month, causing real estate professionals to predict an “exhausted market”.
On Wednesday, Westpac Boss, Gail Kelly joined the growing group of senior bankers warning of an overheated property sector. “It seems things are just a little bit too hot in Melbourne just at the moment, but I suspect that will moderate in a rising interest rate environment.”
Despite the overheating market, the Real Estate Institute of Victoria has this week called for the First Home Buyers Boost to be re-introduced and even increased.
» Housing market to weaken as buyers retreat – The Sydney Morning Herald, 13th April 2010.
» Property too hot in southern city, says Gail Kelly – The Australian, 14th April 2010.
“the Real Estate Institute of Victoria has this week called for the First Home Buyers Boost to be re-introduced and even increased.”
What drugs are the people at the REIV smoking? The market is heading for a US style crash if the government throws out more money.
REIV will struggle to exist if the bubble pops, so Enzo is in large part attempting to protect his own a**. When the US bubble popped a flood of small RE agent franchise consolidation occured due to the massive once in a lifetime revenue downturn. Big multinational RE agents don’t need blokes like Enzo talking ‘the book’ every weekend, they are in the game for the long haul and can easily carry opperating losses for multiple years unlike family and small partnership like local agents.
wow! This is a massive surprise! NooooooooooooooT!
If you have a little bit of brain power and/or common sense, you would have seen this coming a while ago.
You need to take care of yourself and not listen to economist who has vested interest.
I agree with you Robert! Can’t wait for a US style crash! Wooooohooooo! We need a little pain now so that our future and our children’s future, has a future!
The fact is that if a person has just taken out a large loan in the last 12 weeks to buy an over priced house its
going to be a hard lesson about just what debt can mean.
Australia has set its self up for some real pain and you can thank greed for helping it all come about.
PS Mr Rudd is not going to help us get out of this mess because he has help create it, its time to face the music people!
“Despite the overheating market, the Real Estate Institute of Victoria has this week called for the First Home Buyers Boost to be re-introduced and even increased.”
If people don’t want to buy, or can’t afford to buy without the grants that’s a sign that housing prices are too high!
So why don’t we just stop delaying the inevitable and get back to some good old fashioned hard work for a fair days pay, rather than living in our little Australian delusion of building wealth through speculation.