19th February 2024 / Jeremy Desmier: Market Update | 17 & 18 February 2024

On a weekend that saw Melbourne gripped by Swiftmania, with an explosion of glitter, cowboy boots and friendship bracelets galore, the REIV recorded an auction clearance rate of 79%. The Fletchers Group was thrilled to achieve a 78% success rate for our clients.

In Surrey Hills on Saturday, five bidders competed to secure the stylish, single-level townhouse at 4/1 Belmont Street. Centrally located to shops, elite schools, and transport, the property was sold for $1,290,000 by Spring Chen and Jeremy Desmier.

Tranquilly nestled on a lush, leafy allotment at the heart of Templestowe, the generously designed, four-bedroom home at 51 Unwin Street saw two bidders tussle it out to call it home. Marketed by Director Stephanie Michael, the home sold under the hammer for $1,530,000.

Spirited bidding between five parties saw a total of 65 bids exchanged, for the post-war home at 59 Neville Street in Box Hill South. Sold by auctioneer Ian van Eijk, an excited first home buyer secured the property.

Home sellers are feeling confident after the end-of-year break, as property listings rise across the country. The flow of new listings takes total listings to more 'normal' levels in some of the major capital cities, giving byers more choice. PropTrack senior economist Angus Moore said that both Melbourne and Sydney experienced a particularly busy start to the year, with new listings in Melbourne 27.8% higher year-on-year.

"More activity in property markets than we were seeing in early 2023 is being supported by strong demand, very low unemployment, population growth, tight rental market conditions, and a more stable look for interest rates."

With a property empire of $230 million, Taylor Swift is an individual who clearly understand that owning real estate is a long-term play. As Senior Data Analyst Karen Dellow from PropTrack notes, when owning a property, it can be easy to focus on the short-term changes in value and forget that over many years of ownership, prices are likely to rise.

Price changes have been volatile over the past two years, mostly driven by interest rate rises putting pressure on household budgets and reducing the amount that buyers can borrow by approximately 30%. However, the recovery in the past twelve months has helped to put most capital cities and regional areas back into positive year-on-year growth. Home values in Australia have never been higher and since 2014, have increase by about 80%, despite two short downturns between now and then.

House prices have outperformed units over the long term, with the variance increasing from 2020 as houses were in higher demand during the pandemic due to the need for more outdoor space, and extra rooms to work from home. Further price growth is expected this year, albeit at lower levels than in 2023.

We're looking forward to another busy weekend to end the summer selling season. If we can assist you with any of your real estate needs, please get in touch!