Hi,
There were 522 auctions reported to the REIV over the weekend resulting in a clearance rate of 75%. 284 sold at auction, 109 before auction and 129 passed in. There were an additional 225 private sales. As a comparison, the same time last year there were 677 auctions reported to the REIV resulting in a clearance rate of 78%.
The first of Victoria’s faster trains has officially starting taking passengers with another 22 trains to follow. These trains will run on the Geelong, Baccus Marsh and Melton corridors among other lines with the aim to deliver more reliable and faster journeys. The trains can reach speeds of upto 160 km/hour and along with the Melton Line Upgrade, will increase capacity by 50%.
This will be a welcomed relief to Melbourne’s west where population growth has been strong and current levels of public transports have been insuffient in keeping up with current demands.
Faster and more frequent train services from Geelong to Melbourne (and return) will make this area an even more desirable location to live. With a much more affordable housing market then Melbourne, very good schools and now an even more commutable distance, it is very likely Geelong will experience a continuation of increased property prices and higher rents.
Over the weekend there were a mixed bag of results demonstrating there is still an element of cautiousness in the market. This was seen at the auction of 36 Horne Street, Elsternwick. The property had a strong campaign with many buyers inspecting the property but come auction day, only three bidders came to light. The 3 to 4 bedroom, 2 bathroom period home in good condition (kitchen could do with an update) but well located and land size of 630 sqm is large. The property was quoted for $2,000,000 to $2,200,000 with three bidders trying to secure with the property selling for exactly what it was worth at $2,300,000.
Have a great week!
Kim Easterbrook – Managing Director