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Good point skip. And i think this is more of a case in the inner suburbs as the houses tend to be older and perfect for renovation. And this then further skews the price gains for these areas...

Irrational exuberance i will say... Many employees have not gone thru a job market slump and they are borrowing to the hilt thinking that this will continue. It may for some time but it has to roll back as well...

Jason, Yes you are right that the area iam following is more then 10 kms form the cbd. I really cant think paying 700K for a place 5 metres wide. I think that whole inner suburban market is blown up by the Buyers Agents and media which regularly interview the same people with the same...

I really think more then the prices being strong its more case of underquoting. With area that i am currently following the prices have been pretty much the same however the agents quoting less and less when advertising for the place....