A report from the Sunday Telegraph in Australia. "Chris and Brad Kerr say they’re 'heartbroken' after the Californian bungalow in their family for 93 years passed in for what seemed a ridiculously low price. Just two bidders competed for the three-bedroom home and agents couldn’t get them to offer even $1000 more than the vendor bid of $1.7 million. After the gavel fell, Karen Davis, of Standen Estate Agents, said: 'Last year our vendors might have got $2.4 million for this but now we’re having to ask them to consider $800,000 less than that.'"

"Banks’ tighter lending rules mean buyers have less money to play with. At today’s auction, before the vendor bid, the highest real bid had been $1.65 million. And extracting bids throughout really was like pulling hen’s teeth. It didn’t seem to make a scrap of difference when auctioneer Ben Mitchell reminded buyers that the last sale in the street had been $2,228,000 — that was then, and this was now."

"'Yes we are heartbroken,' Mr Kerr said. 'We expected to get something more reasonable than this. This is garbage.'"

From News.com.au. "When the Gatwick Hotel went under the hammer last weekend, plenty of eyebrows were raised over the properties’ underwhelming results. In fact, both of The Block 2018’s penthouses ended up selling for significantly less than predicted, with both falling short of the $3 million mark."

"Property expert Wendy Chamberlain from Melbourne’s Chamberlain Property Advocates said the banks had tightened up lending as a result of the royal commission, which had resulted in fewer buyers — and lower prices."

"'It’s absolutely had a flow on effect on prices because if people can’t get enough money for a house there will be more houses available for sale with not as many people around to actually buy them,' she said. 'If you haven’t got as many buyers you have to bring your price back to a level to meet the buyers who are around.'"

The Newcastle Herald. "Latest property figures show house and unit prices fell more sharply across Newcastle than in Sydney and Melbourne last month. Newcastle real estate agent Scott Walkom said buyer confidence had started to weaken and buyers were finding it harder to gain finance approval."

"'It’s definitely not as heated. A lot less inquiry. I don’t think there’s any fear of missing out at the moment,' he said. 'Prices are falling because buyers are uncertain and there’s a lot of media about prices coming down. The vendors that aren’t adjusting [prices], it’s harder to get the buyers at that level that they were even three months ago.'"

"'At the bottom end, first home buyer level, prices are still holding up,' he said. 'The middle is sort of OK, but the top end is a lot weaker because, I suppose, 10 per cent off is a couple of hundred grand, which is a fair bit.'"

The Australian Financial Review. "Australia has a problem with income growth. There is none. Real wage growth was at zero in the June quarter. UBS economist Carlos Cacho says there is a simple rule of thumb when it comes to falling house prices and stagnant wages, and it does not bode well for the economy."

"Michelle Joynton-Smith, who sold her four bedroom house in Castle Hill last week – where home values have fallen 10.8 per cent in the last year, much more than the Sydney average of 7.4 per cent – says she is now reducing her spend. 'You have to revert to thinking twice before buying something you don't need,' she says."

"And even with the run-up in prices over the last decade she says that after the sale of the house, 'I won't have a lot of surplus money so I won't be able to help my kids out and I will have to work another three or four years before I can retire.'"