real estate real bad

[sprintcyclist]

Stacey McIvor, wife of merchant banker and property investor Mark McIvor, wept after the five-bedroom riverfront home in exclusive Cronin Island drew a top bid of $4.55 million.

A disappointed Mr McIvor said the home had been valued at $6.5 million and that the auction was "a demonstration of a very hard market".

"It's (the top bid) well below replacement cost," he said.

The auction failure is symptomatic of a depressed Gold Coast property market.

Earlier this year, a mansion on the Coast's "Millionaires Row" - Hedges Avenue at Mermaid Beach - changed hands for less than half the price it sold for in 2008..........

I heard of a real estarte agency that used to have 8 agents working there.
Now they have 1, he has not drawn a wage for many months

[Jovial Monk]

Agents don't get wages.

[Aussie]

Agents don't get wages.

Standard industry practice is that they are paid a wage, adjusted against their share of commissions, but it is possible in the current market that practice may have lapsed.

[mantra]

It's supposed to be terrible in NSW with hundreds of thousands of people not being able to pay their huge mortgages and houses moving slowly. NSW is the most expensive state in Australia - but it looks like Queensland isn't too far behind.

Aussies just can't afford the massive and unrealistic prices anymore.

[Jovial Monk]

Well, here when I was supplying the industry with comparable sales data straight commissions were the rule. That may have changed or differs between states. Not a straight wage anyway.

[Aussie]

It's supposed to be terrible in NSW with hundreds of thousands of people not being able to pay their huge mortgages and houses moving slowly. NSW is the most expensive state in Australia - but it looks like Queensland isn't too far behind.

Aussies just can't afford the massive and unrealistic prices anymore.

That is incorrect. They can afford it. They are choosing to save their money in what is an uncertain global financial crisis. Make no mistake....there is a crunch coming somewhere, probably in Europe, and Australia will not be entirely bullet proof.

[mantra]

That is incorrect. They can afford it. They are choosing to save their money in what is an uncertain global financial crisis. Make no mistake....there is a crunch coming somewhere, probably in Europe, and Australia will not be entirely bullet proof.

There are still too many people who are overcommitted and others who can't afford to buy their own home. Unfortunately the massive housing increases began in 2001 and have just continually spiralled to the point where they're unrealistic for the average Aussie.

Of course everyone is still trying to cut down on their spending because of the high cost of living and as you pointed out - an impending crunch from Europe and the US when they'll need whatever savings they can manage.

[Jovial Monk]

The US will also go to shit unless (very very unlikely) Obama gets his plan accepted and wins next year and the Repugs don't gain the Senate.

The 21st century is about to have its first Great Depression.

[mantra]

The US will also go to shit unless (very very unlikely) Obama gets his plan accepted and wins next year and the Repugs don't gain the Senate.

The 21st century is about to have its first Great Depression.

It has been predicted for at least 5 years now. The previous recessions will pale in comparison. Unfortunately continually pumping borrowed or printed money into the economy is not the solution as the yanks have found out.

[Jovial Monk]

Annie, this thread really belongs in Politics. Could you move it, please, when convenient?

Yup, europe slowly cutting its own throat, the US will catch up in a hurry from 2012.

The 1930s will look like a picnic. Neoliberalism is a truly poisoned belief.