23rd September 2024 / Jeremy Desmier: Market Update | 21 & 22 September 2024

As the Spring selling season warms up and national home prices increasing, we've got our eye on the market and bring you all of the latest news in real estate!

Number of 1st home buyers hits highest number in nearly two years

Victoria's first-home buyer numbers have recovered to their highest level since 2022. Recently released Australian Bureau of Statistics (ABS) data released shows the 3,556 market entrants who committed to a mortgage in July brought the state to a 39,336 total for the preceding 12 months. It's the highest number recorded since they hit 39,688 in the year to December 2022, the same year the Reserve Bank began an extensive rate hiking cycle that sidelined thousands of first home buyers.

PropTrack economist, Anne Flaherty, said first home buyers would likely continue to drive sales and "will have a lot of power this Spring" as the number of listings in their typical price ranges rise. "One of the reasons we have seen such a strong rise is because of the number of investors selling off", Ms Flaherty said.

Spring brings more choice for buyers

Spring is typically the busiest time for Australia's real estate market, for both buyers and sellers alike. The PropTrack Home Price Index shows national home prices increased a further 0.2% across the country in August, now cycling through 20 consecutive months of growth, to sit 6.2% higher than a year ago. With the home price uptrend persisting, sellers remain confident, and activity is warming up as the Spring selling season kicks on.

New listing volumes continue to trend higher and are set to surge even higher in the coming weeks, as more properties hit the market throughout the selling season. The stronger new listings environment has resulted in more choice for buyers, with the total number of properties advertised for sale having increased from this same period last year.

Most affordable suburbs

Despite rising home prices, there are many suburbs that are still drawing in buyers across the country, as a number of these suburbs offer homes priced below what is typically seen in their city. The REA group looked into the suburbs with the highest search volumes in each capital over the past 12 months, focusing on those with median sale prices below their city's median.

In Victoria, the top three most searched suburbs with house prices below Melbourne's median of $870,000 are Frankston, Sunbury and Craigieburn. The top three most searched suburbs with unit prices below Melbourne's median of $605,000 are Melbourne, Richmond and Hawthorn.

Fletchers auction and property updates

The Fletchers Group was thrilled to achieve a 72% auction success rate on the weekend for our clients.

In Glen Iris, two bidders competed to secure the beautiful five-bedroom home at 4 Jesse Street. Boasting a beautiful Hamptons silhouette, auctioneer Michael Rosano sold the home under the hammer for $3,280,000.

Four bidders sought to secure the neat, five-bedroom home at 14 Stroma Avenue in Balwyn North, well-located within the prestigious Balwyn High School zone. Marketed by Director Spring Chen, the property was sold under the hammer by auctioneer Ian van Eijk.

An incredible five bidders participated in the auction of 28 Thomas Street in Box Hill South, a stylishly renovated family home in a cherished pocket and premier education precinct. Auctioneer Stefan Cook declared the property sold at $2,006,000.

The upcoming weekend will be quiet on the auction front due to the AFL Grand Final long weekend. If you need any real estate advice, please give us a call.