5th September 2022 / Jeremy Desmier: Market Update | 3 & 4 September 2022

The first weekend of Spring saw 1,516 auctions scheduled to go under the hammer across the capital cities, with volumes expected to increase as we move further into the popular selling season.

We managed to stay mostly dry in the inclement weather, as we continued to see much greater levels of buyer confidence and willingness to bid.

In Wheelers Hill, four bidders competed to secure the charming four-bedroom home at 248 Lum Road, which offered buyers two comfortable living zones and a fantastic location, moments from Wheelers Hill Secondary College. Auctioneer Michael Rosano fielded bids until the property was knocked down as sold at $1,183,000.

The large, renovated family home at 7 Lincoln Street in Burwood East saw 94 bids exchanged between two parties in a 40-minute auction, culminating in a huge result for the suburb. Auctioneer Steven Zervas was thrilled to represent his vendors who were selling their home after 40 years, selling it under the hammer for $1,700,000.

The street-facing, two-bedroom unit at 7/9-11 New Street in Surrey Hills attracted three bidders. The unique home was marketed by Spring Chen and sold under the hammer for $797,000 by auctioneer Stefan Cook.

Zoned for East Doncaster Secondary College, the four-bedroom family home at 10 Hemingway Avenue, Templestowe attracted five bidders. After a successful marketing campaign by Aaron Zhao, auctioneer Jason Salan knocked the property down to the successful bidder for $1,702,000.

The REA Group reports that Victoria is heading for its biggest Spring selling season since the turn of the decade, as interstate buyers look to return. After two years of lockdowns, figures from the Real Estate Institute of Victoria (REIV) show that nearly 3,000 properties are scheduled to go under the hammer in September.

Whilst the ANZ have predicted a 17 per cent drop in Melbourne's house prices by the end of 2023 due to rising inflation and interest rates, REIV President Richard Simpson said that buyers were getting used to the "new normal" and demand could be strong as buyers realise this Spring was their best chance of buying a home for the next 6-12 months.

"If you're buying and selling in the same market, you're not going to lose out too much", he said.

We have certainly noticed improved sentiment amongst buyers over the last couple of weeks and, with the initial shock of rising interest rates gone, it looks like it will be a busy Spring. In addition, there are signs of return from both investors and those Melburnians who left the state during the pandemic.

Whilst Australian house prices fell in August, down 0.39 per cent, prices remain significantly above their pre-pandemic levels with capital city prices up 26 per cent since March 2020.

We look forward to a busy Spring selling season and are here to help if you need any assistance or advice for your own property situation.

Results. It's a Fletchers thing.