Good morning!
Weather conditions were not great over the weekend but it did not stop buyers from bidding or even just turning up to spectate. Large numbers were in attendance of many auctions which could mean there are many buyers out there sitting on their hands waiting to buy. Or simply could be keeping an eye on the market because the ideal property has not been listed for them to pursue.
September can historically be a quiet month in the property market due to the football season but it isn’t shaping up this way this year. Buyer enquiry is strong, numbers going through open for inspections is high and bidders at auctions has increased since last year.
There is no sign of this slowing down for quite some time now as confidence in the market remains high, interest rates are at record lows, population growth continues and the banks have relaxed their lending thresholds to allow buyers to borrow more money.
In fact, this could be just the beginning of another price growth spurt for the Melbourne property market. Is it too late to get in? Of course not, stock levels in Spring should help prevent the market going into any crazy price growth, however, we won’t be seeing the lower price results from this time last year, and quite possibly may not see those prices again. We are expecting the market to have some steady growth for quite some time so now might just be a good time to take the leap.
Have a great week.
Kind Regards,
Kim Easterbrook and the team at Elite.
Clearance Rates
Melbourne | 9th September 2019
This week: 549 Auctions | Clearance: 77% | Last Year: 63% [source: REIV]
8 Holmwood Avenue, Brighton Sold for $3,400,000
Upto 100 people braved the cold to watch this home (or potential 699sqm land site) go under the hammer in a premier location of Brighton. Four bidders in total tried to secure the property with very low increment but persistent bidding. The auction started at $2,800,000 on a genuine bid and sold for $3,400,000 which was $200,000 over the reserve.
33 Latrobe Street, Hughesdale Sold for $1,840,000
Another large crowd turned out to the auction of this five bedroom, two bathroom renovated family home quoted at $1,550,000 to $1,750,000 prior to auction wth a strong opening bid of $1,750,000 to start things off. Six bidders were over the top of the range where the property sold for a strong result of $1,840,000. $90,000 over the reserve price.
77 Sackville Street, Kew Sold for Undisclosed
This vendor has previously tried to sell off their north facing tennis court but had failed. This time though they were able to take advantage of the market conditions over the weekend resulting in a strong sale. The 940 sqm land site attracted three bidders at auction but failed to reach the reserve price. The property was negotiated afterwards for an amount above where it passed in.
Good morning!
Corelogic has started releasing data showing the first property price rises in 18 months. June and July saw rises of 0.2 per cent and August is on track to have a 0.5 per cent rise. These small but consistent rises are demonstrating a market recovery which is also reflective in the clearance rates and a number of bidders at auction. Some experts are predicting a slow and steady rise across Spring, rather than the balanced out market the higher stock levels can often produce. Corelogic also reported that Melbourne is leading in the nation’s recovery.
585 auctions were conducted over the weekend with 382 selling at auction, 65 selling before auction and in addition, there were 152 private sales. Houses produced a higher clearance rate of 78% with units resulting in a 74% clearance rate. Overall, the clearance rate was 76% which was down on the 81% clearance rate from last week.
Have a great week.
Kind Regards,
Kim Easterbrook and the team at Elite.
Clearance Rates
Melbourne | 2nd September 2019
This week: 585 Auctions | Clearance: 76% | Last Year: 59% [source: REIV]
1/184 The Parade, Ascot Vale Sold for $828,000
A young couple took away the keys of this two bedroom, one bathroom single level unit located within a small block of two. The opening bid was strong at $804,000 which immediately put the property on the market. It sold with participation from two bidders for $828,000. An expected result.
6 Totara Court, Lower Templestowe Sold for $1,305,000
Two bidders fought it out to secure this four bedroom, two bathroom family home. The bidding started at $1,100,000 from a buyer’s advocate when a gentleman raised the bidding to $1,120,000. The buyer’s advocate was determined to take the keys away for their client in which she did at $1,305,000.
20 Brinsley Road, Camberwell Sold for $2,410,000
This property last sold in 1978 for $96,000 which is only a fraction of the price it achieved at auction on Saturday. Essentially a land site on 649 sqm of land, park across the road and two train stations nearby, the auction attracted active bidding from seven parties to sell $310,000 over reserve for $2,410,000.
The clearance rate of 81% that was achieved in Melbourne over the weekend is the highest clearance rate result since April 2017. This demonstrates we have a shortage of properties on the market and entering into a seller’s market. This and some strong sales results should hopefully be enough to convince vendors to put their properties on the market.
Of the 496 auctions (considerably lower than last year), 331 sold at auction, interestingly 71 sold before auction (which is much higher than it has been for quite some time), 1 after auction and in addition 193 private sales.
We should see some new auction campaigns starting this week in preparation for auction weekend – 21st of September, but next week there will be very few new listings due to it clashing with Grand Final weekend. The week after though, Spring campaigns will commence with the expectation of a very active couple of months leading into Christmas. The rise in stock levels should balance out the clearance rate over this period.
Congratulations to our clients who purchased this week. We purchased two off market properties, one private sale and one at auction in varying locations over Melbourne.
Enjoy the sunshine this week!
Kind Regards,
Kim Easterbrook and the team at Elite.
Clearance Rates
Melbourne | 26 August 2019
This week: 496 Auctions | Clearance: 81% | Last Year: 59% [source: REIV]
3 Wight Street, Kensington Sold for $1,063,000
This very well located two bedroom period home in good condition with the upstairs extension already completed proved popular, attracting four bidders at auction. The property was quoted at $880,000 to $950,000 prior to auction. The auction started on a vendor bid of $800,000 with a genuine bid quick to follow at $890,000. The property was announced on the market at $950,000 and sold for $1,063,000.
85 Rathmines Road, Hawthorn East Sold for $2,351,000
An unliveable, renovators delight with a stunning facade was in demand with buyers attracting six bidders at auction. Due to the location and the street presence, the bidding was fierce and the property sold for $471,000 over its reserve. The property last sold for $402,000 in 1996. A solid result for the vendor as the house needs structural and cosmetic updates to lift it to its full potential.
31 Rodney Avenue, Coburg North Sold for $940,000
Updated homes on over 600 sqm, under $1,000,000 are scarce in Melbourne and before too long they will become non-existent. Over 150 people attended this auction of the three bedroom, two bathroom home. The property has a cemetery located at the end of the street which can deter some buyers. However, it did not seem to prevent strong bidding from six parties to sell for $100,000 over its reserve.
Good morning everyone!
The clearance rate hit the highest point it has for quite some time achieving a rate of 79% on 443 auctions. However, it is important to note that this time last year though there were 742 auctions over the same weekend demonstrating that stock levels are considerably down. Buyers will certainly be welcoming the higher stock supplies coming for Spring. The clearance rate for houses was 81% and units 78%, in addition, there were 158 private sales.
It seems the confidence in the market is now spreading across all segments of the markets. First home buyers, investors and downsizers were already active but also the higher end of the market is showing signs of recovery. The top end is usually the last segment of the market to recover in a downturn with many higher end properties being auctioned on the weekend having active bidding rather than passing in for negotiation.
Buyers thinking of getting into the market should consider doing so in Spring when we should see the market balance out before the amount of properties on the market decrease for the Christmas period. The first lot of properties being auctioned for Spring will come onto the market in the next few weeks.
Have a great week and stay warm.
Kind Regards,
Kim Easterbrook and the team at Elite.
Clearance Rates
Melbourne | 19 August 2019
This week: 443 Auctions | Clearance: 79% | Last Year: 58% [source: REIV]
36 Regent Street, Prahran Sold for $905,000
One of Prahran’s most affordable homes went under the hammer on the weekend attracting a lot of interest from young couples. These buyers are a strong segment of the market due to most of them having two good incomes and not having the expense of a family as of yet. Three bidders pushed this property $55,000 over its reserve.
19 Sargood St, Toorak Sold for $7,050,000
Twelve months ago this property would have passed in at auction with likely no bids. Over the weekend it attracted two bidders and selling $400,000 over reserve. There are limited amount of buyers at the higher end of the market so achieving two strong bidders at this level was a very good outcome for the vendor.
12 Bathman St, Fitzroy North Sold for $1,275,000
Another renovators delight in the west smashed reserve on the weekend with this unliveable house selling $90,000 above its reserve. Three bidders tried to secure the property that not only was unliveable but backed onto the train line. An extensive restoration would bring this beauty back to its former glory. The property sold for $800,000, above its reserve of $710,000.
Good morning everyone,
The cold blast did not keep the buyers away on the weekend with big crowds at auctions being reported. The clearance rate remained steady at 76% on 382 auctions. 244 properties sold at auction with 45 selling before auction. 46 of the 93 properties that passed in, passed in on a vendor’s bid. Interestingly, the clearance rate for both houses and apartments/units were both 76% which shows an improvement of the amount of apartments/units sold over the weekend. In addition, there were 138 private sales.
As the market improves, we are seeing more properties that not only have vendors with high expectations of what their properties are worth but also properties selling well in excess of their reserve prices.
Properties in need of extensive renovations traditionally can struggle to attract multiple interested parties have been performing well at auction. This is the result of low stock levels but also buyers wanting to live closer to the city with limited budgets. These buyers are willing to accept a lesser property for a better location and do the work overtime to fix it up.
We have five more weeks before we enter into a short lull in the market due to school holidays and sports finals. We then enter into the silly spring season in which we should be active due to higher confidence in the market, lower interest rates and more properties on the market.
Have a great week and stay warm.
Kind Regards,
Kim Easterbrook and the team at Elite.
Clearance Rates
Melbourne | 12 August 2019
This week: 382 Auctions | Clearance: 76% | Last Year: 62% [source: REIV]
16 Hammerdale Avenue, St Kilda East Sold for $1,320,000
Congratulations to our buyer who secured this well located, updated, three bedroom, two bathroom house with car parking. The property was quoted at $1,100,000 to $1,210,000 prior to auction and three bidders participated in the auction. To everyone’s surprise the property was still not on market at $1,320,000 (our bid) where the property passed in. We secured the property after auction for the same price as our last bid.
2 Regent Street, Yarraville Sold for $905,000
Listed at $620,000 to $680,000 prior to auction, this unrenovated house with a heritage overlay (surprising with the 60’s/70’s house on the land) proved very popular at auction with 5 bidders trying to secure it. The opening bid of $650,000 put the house immediately on the market with the property selling well above reserve for $905,000. The owner paid $75,000, 32 years ago for the property
125 Albert Street, Seddon Sold for $800,000
Another renovators delight in the west smashed reserve on the weekend with this unliveable house selling $90,000 above its reserve. Three bidders tried to secure the property that not only was unliveable but backed onto the train line. An extensive restoration would bring this beauty back to its former glory. The property sold for $800,000, above its reserve of $710,000.
Good morning everyone,
The clearance rate surged to 76% on the weekend again demonstrating that more properties are required on the market. We are still in a balanced market but if the clearance rate increases any further, we will be at risk of being in a sellers market.
There were 375 auctions on the weekend with 230 selling at auction, 55 before auction and an additional 129 private sales. The clearance rate for houses was 78% and 74% for apartments. In comparison, there were 536 auctions the same time last year.
APRA reported last week that three of the four major banks have experienced strong growth in their mortgage portfolios one month after the election. Interestingly, the increase came from owner occupiers. Banks are still taking longer to process applications due to the outcome of the Royal Commission and now the increase in applications. Which means there are still many buyers were are keen to get into the market but are still not quite ready to do so.
We will welcome the increase in properties coming on the market over the next few months as we creep closer to the crazy spring season.
We had a busy week at Elite last week securing properties in Elwood, Greensborough, Docklands and Beaumaris for both investors and owner occupiers. Biggest congratulations to our super happy clients.
Have a great week and stay warm.
Kind Regards,
The Team at Elite.
Clearance Rates
Melbourne | August 3-4 2019
This week: 372 Auctions | Clearance: 76% | Last Year: 60% [source: REIV]
9 Primrose Street, Prahran Sold for $1,295,000
150 turned up to watch the competitive auction of this single fronted home in Prahran. The agent suggested 20 contracts had gone out prior to the auction. The home was quoted at $900,000 to $990,000 but wasn’t announced on the market until $1,200,000 during the auction. That is not to say the auction hadn’t reached the reserve much earlier than when it was announced. 9 bidders attempted to buy this and more who didn’t put up their hand with the property selling at $1,295,000.
2/352 Burnley Street, Richmond Sold for $2,178,000
Downsizers appear to be back in the market now that property prices are recovering. But the true test was whether the vendor could recover the $1,940,000 they paid for the property at the peak of the market in 2017. They did, and smashed it. Reserve was announced at $1,880,000 (showing the vendor did not believe they would achieve more than what they paid) with four bidders trying to secure the funky townhouse with lift. Three downsizers were part of this mix however missed out to a family who took home the keys.
454 Wellington Street, Clifton Hill Sold for $1,460,000
Again a huge crowd attended the auction of this four bedroom, one bathroom homes in need of repair but wasn’t scarce of willing parties to do the work. Seems numbers were generally high at auctions over the weekend. A deceased estate, the property was quoted $1,150,000 to $1,250,000 prior to auction. The property was announced on the market at $1,200,000 and sold well above that for $1,460,000. The buyer was a family who lived in the area and is intending to extensively renovate the property.
Good morning everyone,
Auction clearance rates were steady in the 70’s again over the weekend demonstrating we are now in a balanced market. But in saying that, there are still some properties attracting very good interest and resulting in a runaway result. Even though we could do with some more quality properties for sale, many vendors may need to see an increase in prices this quarter to have confidence to put their properties on the market. That being said though, selling conditions are currently at their best they have been for quite some time.
Auction numbers were up on last week with 396 properties going under the hammer with 249 selling at auction and 39 before auction. In addition, there were 148 private sales. The clearance rate on houses was remarkably higher this week at 77% and units/apartments 68%.
Biggest congratulations this week to our buyer who secured a beautiful home in East Melbourne last week off market. With stock levels down the importance of off market properties is greater in order to provide a buyer with more choice. Whilst the amount of off market properties is not huge, our team at Elite are tirelessly working to find more options for our clients. When we find a property that ticks all the boxes, it can be a great outcome for both buyer and seller.
Have a great week and stay warm.
Kind Regards,
The Team at Elite.
Clearance Rates
Melbourne | June 27-28 2019
This week: 670 Auctions | Clearance: 73% | Last Year: 72% [source: REIV]
39 Barry Street, Brunswick Sold for $752,000
4 Bidders tried to secure this unlivable house in Brunswick. Brunswick continues to be popular due to its close proximity to the city and prominent cafe lifestyle. The property had a heritage overlay which limited the buyers interested however the property still sold $70,000 above reserve for $752,000.
2B Beltane Avenue, Brighton East Sold for $987,000
A near new, single level two bedroom two bathroom townhouse with no common property in Brighton East was largely popular with downsizers. Although it was a younger buyer who took away the keys securing the property for $107,000 over reserve for $987,000.
100 Elsie Grove, Chelsea Sold for $1,230,000
The outer Bayside suburbs continue to be popular due to the more affordable price point than the Bayside suburbs closer to the city. Seven bidders tried to secure this renovated family home with pool on 851 sqm selling $70,000 over reserve for $1,230,000.
Good morning everyone,
The clearance rate held in the 70’s over the weekend with a rate of 71% achieved over the weekend on 285 auctions. 178 sold at auction, 24 before auction and additional private sales 170 bringing the total sales for the week 374. Interestingly we are noticing less properties are passing in on vendor bids and rather on genuine bids which demonstrates that most auctions now are attracting interest and participation from buyers.
The REIV released data on the weekend regarding the median house prices for both Metropolitan Melbourne and Regional. The Melbourne median price has now fallen for a consecutive 5th quarter to $785,000. A drop of 1.1%. The sentiment in the market, however, is demonstrating that this could be the last drop that we see and we really did not see confidence come back until after the election which is not fully reflected in this data. Our expectation is to see a rise in the median price in the next quarter’s data which will be released in October.
Enjoy the sunshine today everyone.
Kim Easterbrook and the team at Elite Buyer Agents.
Have a great week.
Kim Easterbrook and the team at Elite Buyer Agents.
Clearance Rates
Melbourne | June 20-21 2019
This week: 282 Auctions | Clearance: 71% | Last Year: 63% [source: REIV]
39 Ironbark Dve, Templestowe Lower Sold for $1,350,000
A five bedroom unrenovated home in good condition on 796 sqm went under the hammer and attracted strong bidding from five parties. The 50 year old family home sold to another family for $350,000 over the $1,000,000 reserve.
60 Pakington St, St Kilda Sold for $843,000
St Kilda’s worst house which was deemed unliveable due to structural issues went under the hammer over the weekend and was in hot demand. Six bidders drove the price to $843,000 which was $100,000 over reserve.
17/49 Head St, Brighton Sold for $1,522,000
Demand for entry level properties in Melbourne’s most expensive suburbs is still strong. Downsizers secured this property over three other bidders for $1,522,000 which was well over the price guide of $1,300,000.
Good morning everyone,
Another cold weekend with low auction volumes resulted in a surge in the clearance rate to 76% over the weekend. 254 auctions occurred over the weekend with 163 selling at auction and 30 before auction. In addition, there were 203 private sales. Showing that 50% of sales sold via an auction campaign and the other 50% by private treaty.
Stock levels have remained very low of the school holidays but we expect this start to increase now for the next 6 to 8 weeks until a lull during the football finals (September) before ramping up again for Spring.
A few weeks ago we reported that there has been some increase in enquiry from Hong Kong buyers due to some of their residents wanting to move their money out of the country. There are now reports that Chinese buyers are looking to return back into the Australian property market due to the Aussie Dollar being down over 10% against the Chinese Yuan over the past year.
This now allows the Chinese to offset the extra 8% tax they have to pay due to being foreign investors and therefore now making property in Australia more appealing. An interesting space to watch for the rest of the year.
Have a great week.
Kim Easterbrook and the team at Elite Buyer Agents.
Clearance Rates
Melbourne | June 13-14 2019
This week: 254 Auctions | Clearance: 76% | Last Year: 62% [source: REIV]
9 Clarendon Street, Armadale Sold for $1,350,000
This small but renovated two bedroom, one bathroom house close to Armadale train station was sought after by four bidders at auction. An investor snapped up the keys to the property for $1,350,000 which sold right at the top of the pre-auction price range.
10/9-15 Palmer Street, East Melbourne Sold for $942,000
Over the years we have seen some competitive auctions of apartments in East Melbourne but this one might just take the cake. This derilict one bedroom apartment with views of the city smashed its $650,000 reserve set by State Trustees, selling for $942,000.
4 Shackell Street, Coburg Sold for $889,500
6 bidders competed to secure this two bedroom, one bathroom, brick period home. The property was quoted at $700,000 to $750,000 and the vendors set their reserve at the top of the range at $750,000. The reserve was smashed by $139,500 selling to a first home buyer.
Good morning everyone,
The weekend results in a consistent clearance rate of 72% but on a low number of auctions. Of 290 auctions, 176 sold at auction, 33 before auction and in addition there were 142 private sales. The clearance rate for houses was 74% and units/apartments was 68%.
There is still no doubt we are battling with low stock levels but many selling agents are reporting healthier stock levels for August and so on. So hopefully more choice of properties will come onto the market soon.
Interest rates have now decreased twice in the past four weeks to be a historically low cash rate of 1%. Some banks are now offering fixed rates as low as 2.99% which raises the questions, is it now cheaper to buy than rent?
In some areas where there are an oversupply of rental properties, for example, Southbank, CBD, the answer is yes it could be. Other areas where the housing supply is lower, being Brighton, Thornbury, Yarraville and so on, it may be more expensive to buy. However, it must be said, money has never been cheaper to borrow and the Melbourne property market has certainly entered into recovery mode with a prediction of price rises not too far in the distant future.
There likely has not been a better time for tenants to take the leap into home ownership.
Have a great week.
Kim Easterbrook and the team at Elite Buyer Agents.
Clearance Rates
Melbourne | June 6-7 2019
This week: 287 Auctions | Clearance: 72% | Last Year: 62% [source: REIV]
8 Guthrie Ave, North Geelong Sold for $773,000
The interest in Geelong of late has increased over the past couple of years due to Melbourne being so unaffordable and Geelong being an easy commute from Melbourne either via car or train. The auction of this popular was strong with six bidders participating to try and secure this three bedroom, one bathroom, period home. The property sold $73,000 over the $700,000 reserve.
15 Linton St, St Kilda East Sold for $1,555,000
Well located, renovated, single fronted period homes are always in demand. Two bidders tried to secure the home which is just a hop, step and jump from the shops on Carlisle St. The auction started on a genuine bid of $1,480,000 where it was announced on the market. Another bidder participated and the two battled it out before it sold to a young professional couple for $1,555,000.
69 Ruskin St, Elwood Sold for $1,940,000
A perfect property for a downsizer. The auction of this renovated, single level home in one of the best streets of Elwood attracted bidding from two parties. A young professional couple and downsizer went head to head where the downsizer eventually won the keys for $1,970,000 after it was announced on the market for $1,830,000. A strong result of $110,000 over reserve.
