I think it depends on the area Harris. Are you currently actively looking at resi IP's? I know you are fairly Frankston heavy, and everytime i've searched that area, or even the inner suburbs apartment markets, there have been pages of results. However the areas i'm currently looking (granted my criteria is quite specific) i'm lucky if there's 1-2 new listing per week. This, added to huge amounts of potential buyers I think is one of the reasons for growth.
Outer suburbs are not auction suburbs anyway. Hardly 1 in 10 properties makes its way to auction. Inner & Middle suburbs have auctions and the numbers suggest that supply is on the high side but the demand is at a very high level. I have been monitoring inner melb since the start of this year and bought something in June. Another factor is the average duration of the property on the market which is also at its lowest point currently (as in disappearing quickly - within 26 days or less after being listed).
Harris