21st November 2022 / Jeremy Desmier: Market Update | 19 & 20 November 2022

As we endured a day of typical Melbourne weather (rainy one minute, sunshine the next), auction volumes across the combined capitals increased by 6.2% to 1,844 properties scheduled to go under the hammer. This was the highest volume since June, and Melbourne also saw an improvement in clearance rates, sitting at 62%, reported by Domain. The Fletchers Group was thrilled to achieve a success rate of 79% for our clients.

In Balwyn, we saw three bidders compete to secure one of the last original weatherboard homes at 17 Bennett Street. A premier allotment is a superb new home site, where a new prestige residence could be built in a location within walking distance to Deepdene Village shops and cafes. The property was sold under the hammer by auctioneer David Taylor for $2,821,500.

The sophisticated, four-bedroom family residence at 13 Athol Court in Blackburn attracted four bidders on auction day, after a successful marketing campaign. Offering two separate and spacious living zones, the stunning clinker brick home was sold by auctioneer Ben Williams, to the highest bidder for $1,893,000.

The sun came out at just the right time for the late afternoon auction of 12 Walnut Court in Mulgrave, as a large crowd gathered to watch. Offering the opportunity to renovate, build new or construct townhouses on a large corner block, the property saw four bidders compete, keen to secure the potential on offer. Marketed by Spring Chen, the property was sold under the hammer by auctioneer Sarah Lowry.

In other property news, the REA Group reports that offshore searches for Victorian property on their site has been the highest on record over the past six months. Melbourne is the most in-demand city in Australia for searches from India, the United Kingdom, China, and Singapore, with international workers and students returning.

PropTrack's Overseas Search Report for November 2022 notes an "influx of international students and migrant workers have arrived since January 2022," and while this has not returned to pre-pandemic levels, "numbers are ticking up sharply."

PropTrack senior analyst Karen Dellow said offshore searches had "increased significantly" since international borders opened in January. "Searches for properties to buy are currently up 31 per cent year-on-year and searches for rental properties are up 97 per cent," she said.

"As new arrivals will most likely choose to rent before buying, it's not surprising to see searches for rental properties surging, particularly as more people from overseas seriously consider a move to Australia with borders now open."

The overall Melbourne vacancy rate was 4.1 per cent a year ago as the city broke out of its most recent lockdown, and has continued to come in steeply, with rents rising, since. Melbourne's overall median asking rent has set a new record each month since it topped its previous February 2020 peak of $485 in July this year. It's now $513.

With just four auction weekends left for 2022, we can't believe that the year is almost over!

Results. It's a Fletchers thing.