8th November 2021 / Rob Fletcher: Market Update | 6 & 7 November 2021

The property market continues to enjoy a strong, belated Spring market as the Domain Group reports that Melbourne auction clearance rates reached their highest level in October for 2021. The last time clearance rates were higher was in April 2017.

The number of properties going under the hammer shows that pent-up supply has entered the market over the last month, although this is expected to pick up even more, as double dose vaccinations continue to grow.

In Melbourne's eastern suburbs, the REA Group reports that overwhelming demand from family buyers has pushed house prices in Blackburn to rise 17.2 per cent in the past 12 months – making it the top-performing suburb of Melbourne's east. Pricing shot up to a $1,605,944 median, as neighbouring Blackburn North also recorded significant growth of 13.9 per cent to a $1.24 million median house price.

Doncaster East, Burwood East and Camberwell also made the list for the biggest median house price growth in the region. For units, Burwood was ranked number 1, with a strong 16.4 per cent price increase to $873,500 – Deakin University proving to be a major drawcard for investors in the suburb.

Over the weekend, the Fletchers Group reported a strong clearance rate of 80 percent.

In Bulleen, the impressive double storey home at 25A Alfreda Avenue attracted five bidders. Privately situated on its own title, the home went on to sell under the hammer for $1,595,000.

The home at 15 Chancellor Drive in Wheelers Hill saw four prospective buyers compete for the elegant four-bedroom home. Auctioneer Connor Sun knocked the property down to the successful bidder at $1,282,000. With three buyers missing out, managing agent Kristy Wang is looking for another similar home to help her clients get into the brilliant family neighbourhood!

An impressive nine bidders logged in online for the opportunity to secure the pretty weatherboard home at 5 Adele Street in Vermont. Newly renovated and on a corner block, the home is in a tree-lined pocket metres to Rangeview Primary School and is zoned for Vermont Secondary College. A total of about 68 bids were made during the auction, until auctioneer Steven Zervas declared the property sold at $1,073,000.

In other news, the Reserve Bank of Australia's governor Phillip Lowe has warned borrowers to prepare for interest rates to rise from their current historic low, but not before 2023 at the earliest. He maintains that 2024 is the most likely time frame for the central bank to lift the cash rate, however noted that the board is prepared to be patient when considering a lift in interest rates.

Whilst he said that they wouldn't rise again quickly, he did say that when people are making their borrowing decisions, they need to factor this into their calculations.

Success. It's a Fletchers thing.