Interesting to read in today's Weekend Property (from Sun Herald) that an Art Deco apartment at Point Piper failed to sell when the highest bid ($695K) was said to have fallen $35K short of the bank's reserve. I was under the impression that MIP properties were more realistically priced, to at least cover 80% of the original mortgage and other costs (legal, maintenance, selling costs etc), hence their popularity for buyers seeking a bargain. Unusual to hear of one not selling, especially when it has harbour views. Then again, it's not really an area of Sydney I'm familiar with price-wise. ANZ spokesman Paul Edwards was also quoted in the same article as saying that loan defaults such as this one were NOT on the rise in Sydney and MIP sales were in no greater numbers than normal. Things will change if interest rates rise in the next few years, but even that isn't looking likely right now. Sydney appears to be in a "settling down" period of price adjustment, in my opinion.