Down to Earth

I spoke with an agent from Collins Simms, Clifton Hill yesterday. I shared my frustration of how impossible it is to find a home that sells within my price range on auction day. I told him that agents/vendors advertise homes for one price and that on auction day it sells for $200,000 over the quoted range, therefore, making it impossible to find an appropriate home. The agent was very encouraging. He said that many people were experiencing the same problem as I. He also went on to say how difficult agents found it to quote homes now a days due to the strong demand in the market. He said that he too has seen houses advertised for one price only to have it sell for way over the reserve. I think the price of homes are exceeding every ones expectations. I guess it basically comes down to under supply. There are too many people looking to buy a house and not enough houses to sell or not enough homes on the market.Basically it comes down to too much demand and not enough supply. This is bound to increase home prices.