It’s December and Melbourne’s feeling marvellous again
In December’s first two weekends the Real Estate Industry of Victoria (REIV) recorded more than 2,883 auctions. 1,825 properties sold, 1,259 at auction, with 633 passed in. 565 properties were sold before auction & 1 property sold after auction. The clearance rate averaged 74.5%, down on 81.5% this time a month ago.
More negotiating room for buyers
As we head towards Christmas after another tumultuous year there’s much more stock being listed. It’s less of a sellers’ market now and buyers have more breathing space. Affordability is also adding to downward pressure on clearance rates, which also creates more room to negotiate.
After the third fastest period of house price growth in history (2021) Melbourne dwelling values still went up by 0.6 over November, so we’re not at the ceiling yet. The trends over 2021 have been radical to say the least with Melbourne values rocketing 16.3% in the 12 months to November and regional Victoria up 24.0% (CoreLogic).
Yarra Ranges the fastest sellers
There was a rush out of town this year and the fastest selling Victorian homes were in the Yarra Valley and ranges. Tree-changers snapped up value at Seville East, East Warburton and Sassafras with sales only 7 to 9 days after listing. Cockatoo and Coldstream took only 10 days to sell. Homes in St Andrews beach were 10th fastest to sell taking about 10 days only.
Value opportunities in the CBD
CBD apartments were the hardest hit by the pandemic with about a 25% drop in rents. The city is at last getting back into gear and this is being sped up by the obvious fact that people who front up more in the workplace are more likely to be promoted.
It will take a year for the international education trade to recover too, and right now there are opportunities for small apartment value-buying in the CBD, particularly at entry level, supported by the Government’s 5% low deposit scheme. It’s a good stepping stone into the market.
Buyer Marketing wishes all our contacts and clients a wonderful Christmas and happy holidays!
Principal Advisor &
Licensed Estate Agent
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