In some areas yes. Auctions 'successes' are varying in todays market:
http://www.businessday.com.au/busin...d-cold-in-a-fickle-market-20110403-1ct43.html
Some clear winners, some clear losers...
Look at it this way...in the yesteryears ( with posssible exception of 08-part of 09), demand has exceeded supply ( hence price rises). If what you say is true ( and it prob is) supply and demand are relatively equal footing, then compared to the last 5 yrs or so, is not now a good time to buy?
Corrections (yes corrections, not bubbles bursting) like this occur over years, not weeks or months. We are 2 - 3 months into the cycle, so I would guess that a better time to buy would be in at least 12 - 18 months, probably even longer. You are better off buying when the price decrease levels off, than when it has just started. Especially when the yields are so low that you would be holding onto a loss making investment for quite some time.
Vendors are only now starting to realise that they cant expect the prices they could have achieved last year.