The Miami Herald reports from Florida. "Newly built Miami condominiums were auctioned Thursday night, an event that many observers expect to see repeated as more under-construction condo buildings are completed amid the struggling housing market. CNBC covered the event, which came with echoes of Miami's 1980s condo bust when developers turned to full-throated auctioneers to unload units."

"Eight of 20 units Thursday were offered with no minimum-bid requirement and prices ranged from $181,500 for a one-bedroom to $357,500 for a three-bedroom."

"Some observers...noted that figures were significantly below what previous buyers paid for Platinum units. In May, for instance, a one-bedroom on the 14th floor closed for $360,000. But Thursday night, two one-bedroom condos on the tower's 16th and 18th floors couldn't crack $220,000."

"'Next week or the week after, look for the lawsuits on this building,' said Jack McCabe, a Deerfield Beach real estate analyst. 'Many people who bought are now upside down. The place isn't worth what they borrowed, suddenly, thanks to this auction.'"

"Analyst Lew Goodkin said better bargains should come in 2008 when the market is even softer. 'Going, going, gone,' said Goodkin. 'Sold to the schlemiel who should have waited. I think it's too early in the game.'"

"What's going on with appraisals in some parts of the country? Mortgage lenders, and appraisers themselves, say they're increasingly coming in with valuations higher than the contract prices agreed to by sellers and buyers."

"Are some sellers giving in to lowball offers, fearful that they can do no better in the wake of the subprime mortgage implosion and home sale bust? Or are appraisers simply lagging behind downward market adjustments?"

"'We're seeing it a lot now,' says Patrice Yamato, president of Plaza Mortgage Group in Jacksonville, Fla. 'Appraisals are coming in higher than the contract' - a reversal of the pattern during the housing boom years, when appraisals often came in at or occasionally below the contract price."

"'I think buyers are pushing very, very hard,' says Yamato - and they're walking away with steals.'"

The News Press. "A study says Lee County ranks as one of the worst major markets in the country for decline in home prices." "Moody’s sees a hard fall for Lee County because of factors 'that are common for all Florida metropolitan areas,' said Per Berglund, senior economist for Moody’s."

"'Namely, you have the tremendous increase in prices in the housing boom and that has clearly given the large imbalances in the market. We’ll definitely see further price decreases going forward,' Berglund said."

"Also, Berglund said, 'Inventories (of unsold homes) have been built up to levels way out of balance. There’s five times the number compatible with market equilibrium.'"

"The median sales price of an existing single-family home sold by a Realtor, for example, fell 22.5 percent, from $322,300 in December 2005 to $246,100 in July, the last month available, according to the Florida Association of Realtors. The number of unsold homes is about 15,000, more than three times what it was a year ago."

"Fort Myers-based real estate agent Brett Ellis said he agrees Lee County will have a sharp decline and said that if anything, Moody’s is a few months behind in its prediction. 'I think we’ve already dropped 17 percent,' he said. 'The price drops have been fast and furious” in recent months.'"

The News Journal. "A real estate agency owned by Felix Amon and his wife, Ursula, developers of oceanfront condominiums, has filed for Chapter 11 bankruptcy protection."

"The filing by RX Realty Inc...swiftly followed the decision of an arbitrator to award a former agent of the company more than $400,000 in unpaid real estate commissions."

"Condominium units in two properties Amon developed on the oceanfront in Daytona Beach Shores and New Smyrna Beach recently were put up for auction, but did not sell, Amon said."

The Orlando Sentinel. "Central Florida is experiencing an increase in advertisements for 'short sales.' Just under 200 homes are being offered as short sales in Orange County right now, listings show."

"Short sale attempts have increased but often fall through, especially when the seller also has a second mortgage to satisfy, says Greg Gary, president of Grace Title Inc. 'Unless you're a master negotiator, it's hard to get Bank A to agree with Bank B on a price,' Gary told me."

"And don't think it's an easy out if you're behind in your mortgage payments. The amount of debt forgiven on a short sale may be taxed as income. And while the banks may allow a short sale, they may not be willing to forget about it and walk away."

"Banks often go after sellers for what they are still owed. 'I'm going to turn around and sue the borrower for the short amount,' said Robert Orsolits, president of a foreclosure and bank-owned asset and real estate management company. 'We do it with investors a lot.'"