28th August 2023 / Jeremy Desmier: Market Update | 26 & 27 August 2023

The final auction weekend of Winter saw a buzz of activity at several auctions, with the mild weather giving us a glimpse of what's to come with Spring just around the corner!

The REA Group reports that sellers are making a comeback after months of holding back, amid expectations that interest rates are either at, or are near their peak. REA Group director of economic research, Cameron Kusher, says that sellers appear to be feeling more confident to take their homes to the market.

PropTrack data shows an unseasonably strong lift in new property listings in Melbourne during July, with more new homes for sale than has been typical at this time of year over the past decade. Improving sentiment is set to support the property market throughout the rest of 2023 and into 2024, according to PropTrack's latest Property Market Outlook Report. The report forecasts national home prices could rise between 2% to 5% in 2023.

Over the weekend, a large crowd of approximately 100 people looked on as five bidders tussled it out to secure the historic five-bedroom home at 18 Albany Crescent in Surrey Hills. Owned for over 50 years in the same family, 'Villaseca' boasts beautiful ornate detailing, towering decorative ceilings, and an enviable location just a few short steps from Surrey Hills Primary and train station. Marketed by Spring Chen, the bidding for the stunning home was thick and fast, expertly handled by Auctioneer Jeremy Desmier, before the home sold under the hammer for $3,285,000.

Director Michael Richardson and the Glen Iris team auctioned the four-bedroom family home at 17 Oliver Street in Ashburton. Boasting attractive picture windows and the opportunity to renovate or build a dream residence, the property saw four bidders participate until the home was sold to the successful bidder at $2,010,000.

In Box Hill North, an opportunity to renovate or redevelop was on offer at the auction of 12 Trawool Street. Two parties exchanged bids to secure the property, zoned for Blackburn High School, until the property was knocked down to the successful bidder at $1,306,000.

In property management news, it is reported that Melbourne is very close to its lowest vacancy rate ever, with PropTrack noting that just 1.41 per cent of prospective rental homes in Melbourne were available for tenants in July. The vacancy rate is a major factor in why the city's typical house has had a $40 increase to its now $500 asking rent in the past year. The new statistic from PropTrack also show the city's supply of available rental homes is almost half of what it was just before the COVID-19 pandemic hit Australia.

We are looking forward to the first weekend of Spring coming up, with a big Saturday of auctions and open for inspections. If you need any advice on your own property situation, please get in touch!