The clearance rate dropped slightly to 74% on the weekend with 682 auctions held in Melbourne.  378 sold at auction, 129 sold prior and 175 passed in.  In addition, there were 177 private sales.  In comparison, there were 619 auctions held on the same weekend last year resulting in a clearance rate of 77%.

CoreLogic released their monthly data which demonstrates that property prices in Australia have increased for the 15th month in a row, with the median house price increasing by 0.6%.  There is no sign of this easing in the future with demand for housing high and supply being limited.  Sydney continues to be the most expensive city to buy property with the median house price being $1,400,000 (houses increased 9.6% for the year).  This is significantly higher than any other city in the country with Melbourne in second place having a median house price of $941,698 (house prices increased 3.0% for the year) and Brisbane coming in at a close third with a median house price of $920,046 (house prices increased at 15.9% for the year).

Even amongst the interest rate rises, inflation (affordability issues) and landlords selling their investment properties which has given a slight boost to supply, property prices in general have been resilient and in fact across all capital cities (except for Hobart), property prices have risen over the past 12 months.

A family home in Cheltenham was very popular at auction on the weekend.  The sub-$2,000,000 family home market is in demand as many buyers have had to decrease budgets due to higher interest rates.  The updated three bedroom, two bathroom home with a north facing rear attracted five bidders at auction.  The property was quoted at $1,350,000 – $1,450,000 prior to auction and sold for $1,505,000 which was $55,000 over the reserve price.

Have a great week

Kim Easterbrook