30th October 2023 / Jeremy Desmier: Market Update | 28 & 29 October 2023

The final auction weekend of October was a super one, with the REIV expecting approximately 1,870 auctions to be called. In fact, the Domain Group reports that it was the biggest auction week of the year, with a preliminary clearance rate of 67% recorded.

Agents have commented that confidence from buyers is still up, despite predictions of another rate rise. PropTrack economist, Anne Flaherty, said that for sellers to do so well after the number of homes testing the market rose by more than 500 compared to a week prior showed significant buyer demand. "For a clearance rate to be above 60 per cent following that many auctions, that is a really strong result."

In the morning, comedian Andy Lee, the other half of iconic duo, Hamish and Andy, achieved a fantastic result with the sale of his Richmond investment property. The three-bedroom, three-storey warehouse conversion boasts contemporary style, an incredible location and includes a golf simulator. The auction was conducted by Michael Richardson, with two bidders competing until the price reached $3 million, with a few more bids taking it to its selling price, as a crowd of about 35 looked on. Agent Nick Fletcher said the property was popular because it was unique…"there not another one that would pop up for sale."

The colourful home at 36 Boston Avenue in Malvern East also sold under the hammer, with a young couple beating two other parties to secure the keys. Bidding for the Californian Bungalow kicked off at $1.9 million with a series of $25,000 bids following, until they reached $2.1 million, before increments dropped to exchanges of $5,000 before the property was sold. Fletcher's Glen Iris' Andrew Mackintosh said the new owners weren't attracted to the property for its colour scheme and were planning to change the exterior to white. "It definitely wasn't part of the appeal to the buyers," Mackintosh joked. They did, however, love the home's location and size, he said. It's the first time the property has sold in almost 40 years, having been owned by the same family since 1985, auctioneer Michael Rosano said.

Offering the opportunity to build townhouses or a luxury new home, the classic four-bedroom home at 5 Kanooka Avenue in Ashwood attracted four bidders. Marketed by Aaron Zhao and Jackie Chu, the property was sold under the hammer by auctioneer Mark Fletcher for $1,710,000 – well above reserve and another fantastic result for 'Team JAM!'

Interest from overseas property seekers is skyrocketing according to the PropTrack Overseas Search Report, as migration has returned to pre-pandemic levels. Both buy and rent searches are now well above pre-pandemic levels and are set to continue rising. A quarter of buy and rent searches come from New Zealand, and interest from our nearest neighbour has increased monthly. In July 2023, arrivals from migrant workers and students hit the highest level since January 2020, averaging 265,000 new arrivals each month over the past six months. The most searched location in the past six months on realestate.com.au was Melbourne, with the sandy beaches and year-round sunshine of the Gold Coast also in high demand with overseas buyers.

Next weekend will be a quieter one due to the Melbourne Cup, with less than 500 properties expected to go under the hammer. For advice if you're considering selling late Spring this year or perhaps to begin preparations for an early 2024 sale, give us a call.