Market Update | 17 & 18 April 2021

It was another ‘Super Saturday’ of sales over the weekend, with more than 1,000 auctions held.

The Domain Group reported a clearance rate of 74.5 per cent, observing that renovators and builders were among the big buyers across the weekend. Australian housing values are surging at their fastest rate in 32 years, with residential values jumping 2.8 per cent in March – the fastest rate of growth since 1988, according to data firm, CoreLogic.

Buyers continue to create fierce competition on auction day due to relatively low stock levels and to take advantage of record low interest rates and government incentives.

The Fletchers Group were thrilled to achieve a clearance rate of 92 per cent on the weekend, with most properties attracting multiple bidders.

My team and I sold 17 Kingston Road in Surrey Hills under the hammer, after it was offered for sale for the first time in 40 years! It was also an honour to represent our vendors of 1 Goulburn Street, Box Hill North which was bought by the family 63 years ago. We also sold 118 Woodhouse Grove, Box Hill North and 32 Severn Street in Balwyn North.

Success. It’s a Fletchers thing.

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Auction | 30 Illawarra Road, Balwyn North

The comfortable, 1954 home at 30 Illawarra Road in Balwyn North offered a number of options to buyers on auction day.

We started proceedings with a vendor bid which quickly led to participation from genuine bidders as interested buyers got confident enough to bid.

Great to see auction crowds back and competition in what is a strong market. Congratulations to our vendors and the successful purchasers!

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Auction | 1 David Street, Box Hill South

We had the coffee van and the Chupa Chups ready for the auction of 1 David Street in Box Hill South last weekend!

Built in 1947, the character-filled home has been extended and renovated, perfect for a family to move in within the Box Hill High School zone. My colleague Connor Sun and I were thrilled to see a healthy level of competition, with six bidders involved.

Congratulations to our vendors, Kevin and Grace and well done to the successful purchasers who withstood a typical Melbourne change in weather to secure the home!

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Market Update | 10 & 11 April 2021

The first post-Easter auction weekend saw approximately 900 properties scheduled to go under the hammer. The weather conditions were more akin to a winter’s day, with temperatures much cooler and plenty of rain falling.

This didn’t seem to deter buyers though, with the REIV reporting a clearance rate of 80 per cent. The Fletchers Group was thrilled to finish the day with a success rate of 87 per cent!

My team and I were thrilled to sell all three of our properties scheduled for auction under the hammer!

With property prices soaring, the Domain Group reports that the clock is ticking for first-home buyers to get on the property ladder with the help of government incentives, with a raft of support measures set to expire in the coming months. Experts say that slow lending approvals, strong buyer competition and rapidly rising prices mean that first-home buyers need to act sooner rather than later to take advantage of some of the stimulus measures set to end.

In Victoria, the temporary stamp duty waiver on homes worth up to $1 million has seen first-home buyers flocking to the market. Buyers can also access a 50 per cent duty discount on new homes, and a 25 per cent discount for existing homes until 30 June.

Success. It’s a Fletchers thing.

Categories: Auction Wrap

Auction | 1/36-38 Hamel Street, Box Hill South

Offering a golden opportunity in Box Hill South, the property at 1/36-38 Hamel Street boasts a double block on its own street frontage!

It was great to see the coffee van back and we were underway on auction day with an opening bid of $1 million. Three bidders competed to secure the home, which went on to sell for $1,182,000 under the hammer.

We’re thrilled for our vendors, Mike & Tess, and the successful purchaser!

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Market Update | 3 & 4 April 2021

We had a quieter weekend due to the Easter break, after a strong finish to the first quarter of the year with one the busiest auction days on record.

The Domain Group reports that the number of property listings on the market slumped in the run-up to Easter, leading to fears that home prices will surge further as demand continues to outpace supply.

Domain senior research analyst, Dr Nicola Powell observed that “we are currently seeing a depletion of current stock in the market, where buyers are absorbing all the old listings as well as the new, as there’s a real shortage of supply”.

The effect on property values has seen them skyrocketing at the fastest rate in 32 years, with Melbourne values jumping 2.4 per cent in a month to a median of $736,620. With interest rates expected to stay at record lows for several years and the economy recovering post-COVID, the housing market is booming.

CoreLogic’s executive research director, Tim Lawless, commented that “with economic conditions consistently beating forecasts and interest rates likely to remain at record lows for an extended period of time, Australians are feeling more confident to make high commitment decisions”. He added, “we are expecting housing values will continue to rise through the year and probably next year as well, as long as interest rates remain at their record lows”.

With a record number of properties listed for sale in March, we are looking forward to a busy Autumn. With five auction weekends available in May, if you’re considering selling, get in touch to arrange a complimentary appraisal and discussion about the right marketing strategy for you.

Categories: Auction Wrap

Auction | 4/12 Raynes Street, Balwyn

A good old fashioned key-turner…nothing for the purchaser to do!

Offering a great community feel, the newly renovated two bedroom villa unit is in a great location within the Balwyn High School zone. The Sunday auction saw six bidders compete to secure the home, which sold under the hammer for $825,000.

Congratulations to the successful purchaser and our vendor Akemi!

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Auction | 25 Roy Street, Donvale

After nearly 40 years, the elegant three bedroom home at 25 Roy Street in Donvale was up for auction, ready for a new family to make their own memories.

There was a great vibe on auction day and nice to see the successful purchasers so excited when they realised they had secured the home! Thank you to our vendors, Nola and Dale, for their kind words – congratulations again!

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Market Update | 27 & 28 March 2021

The last auction weekend of March was a big one, with over 1,500 auctions scheduled in Melbourne. In fact, Domain figures show that it was the busiest auction day since March 2018, and its third-biggest auction day on record!

Domain’s Dr Nicola Powell said that the large volume of auctions “shows the market is returning to normal seasonal dynamics” just five months after Melbourne emerged from its second lockdown. Figures released earlier this month support this observation, showing that Australian house prices grew by 2.1 per cent in February, the biggest month-on-month gain in 17 years.

Dr Powell further commented that the high volume of auctions over the weekend would be “a real test to see if there are enough buyers in the market to absorb the high level of auctions occurring”. It certainly seems that the market passed the test and there are still plenty of buyers in the market, with the Real Estate Institute of Victoria [REIV] recording a clearance rate of 85 per cent.

The Fletchers Group was thrilled to achieve a third consecutive weekend with a clearance rate of above 90 per cent. Domain reports that a high clearance rate points to strong price growth – an auction clearance rate of 70 per cent is usually correlated with annual price growth of about 10 per cent.

There was not much rest over the weekend for my team and I, as we sold two more homes under the hammer after what was already and busy successful day on Saturday.

The Easter weekend will see the property market take an expected break due to the long weekend. With low interest rates and the easing of credit by banks, strong activity is set to resume straight after, with many auction bookings scheduled over April. There are also five auction weekends available in May, which we expect will be another bumper month for the property market after such a robust start in the first quarter of 2021.

On behalf of my team, I hope you have a safe and happy Easter long weekend.

Success. It’s a Fletchers thing.

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Market Update | 20 & 21 March 2021

Another stunning weekend of results for the Fletchers group on Saturday, with over 94% of properties selling at auction. Once again, our dedicated sales team has surpassed Victoria’s state-wide clearance rate of 84%, with 18 properties sold across our network.

In what some agents are now referring to as a ‘second Spring’, current buyer activity and low stock levels have become the catalysts for rising house prices, with auctions becoming more competitive as the weeks progress. Despite a wave of public holidays on the horizon, next weekend is expected to be even busier, with more than 1,550 auctions currently scheduled across Victoria.

In Surrey Hills, a stunning three-bedroom Californian Bungalow at 53 Suffolk Road sold under the hammer for $2.1 million, $455,000 above the reserve. Four active bidders pushed the final sale price well beyond its initial $1.7 million price point.

Reflecting on the intense competition for properties in the area, my thoughts are that ‘the market is rapidly increasing at the moment, and while from a vendor’s perspective it is heaven, from a buyer’s perspective, it is tricky because they’re aware that if they don’t buy now, then prices are going to be higher next month.’

More stock is expected to come onto the market in the coming months as more vendors feel at ease putting their properties on the market. ‘I find activity breeds activity. If people are seeing prices going up, as a seller, you are more comfortable putting your property on the market. As a buyer, you are perhaps more prepared to step out of your comfort zone’.

Success. It’s a Fletchers thing.

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