49 Groups Through On The First Open
In This Week's How's The Market | Edition 43
49 Groups Through On The First Open
Confidence Is Coming Back
Couple Spends $1.95m At Auction On A Property They Saw For The First Time That Day
49 Groups Through On The First Open
On the weekend just gone and for the first time this year, I’ve had to line up with a sea of people to get into an open home. The real estate agent confirmed 49 groups attended and what looked like well over 100 people. This was the first time I’ve seen a line at an open home this big since the peak days of Covid during 2021.
The property was 3/1 Belmont Avenue, Glen Iris, Vic 3146, a 2 bedroom villa unit in Glen Iris priced $700k - $770k and sitting on approx 176m2 of land.
This property does have the appeal of a large dressing room which could be used as a study as well as rear access and a garage and may be quoted under what the property will sell for, though it is also not an exceptionally unique property or something that should drum up large volumes or attention which makes me believe that this is a sign signifying a turning point in the marketplace.
I predicted to clients that I expected this weekend to be busy due to pent-up demand from Easter as well as an added layer of confidence in the marketplace due to the pause in interest rates, though this was more than what I expected.
The top of the market has also seen some strong results in recent weeks with some big sales taking place like the Wow Factor of the week last week that sold in Toorak for $20m with 7 bidders and 20 Shakespeare Grove, Hawthorn that sold for $10m last month after being on the market for just 13 days.
The top of the marketplace is what usually leads the booms & busts and sends ripples out to the surrounding suburbs as buyers get priced out of one suburb and move to the next closest. It appears that the shift is already beginning.
What The Agents Are Saying
Confidence is coming back.
Ever since the pause in interest rate rises, more people have been attending opens, more offers are coming in on properties and more vendors are considering listing their properties.
One agent in Geelong said that following the interest rate pause, even after the Easter weekend, they had four properties they were struggling to sell go under contract in one day.
In the city, agents are providing us with more off-market properties that are scheduled to hit the market over the coming months with vendors getting slightly more confident to list and coming to terms with where the market is now in comparison to the height of the market.
Whilst things are picking up slowly, agents are still making it clear that stock levels are still looking low in comparison to a normal market.
The Wow Factor!
A stunning example of modern-luxury-meets-leafy-green oasis positioned in the equally green suburb of Hawthorn overlooking the Yarra River. What an epic property!
Price tag: $24m - $26m
In The Media
Love at first sight? Couple spends $1.95m in spur-of-moment auction buy
There have been some crazy auction results around Melbourne over the last few weeks. This article paints a good picture of some of the crazier decisions.
Final Thoughts
Whether this newfound positive sentiment is to be short-lived is anyone’s guess, however, we are starting to sense FOMO amongst buyers that are no longer trying to look for a bargain and are just trying to secure good assets which have now been rare and competitive for quite some time.
I believe if there is no interest rate rise next month that this will have a big effect on confidence throughout the marketplace and that we will see large groups of buyers coming back in that have been sitting on the fence.
Thanks for reading this far!
We value feedback and if you have any suggestions on what you would like covered in the future please email me at tristan@tomii.com.au
Happy Buying!
Note: This is my opinion, please seek your own expert advice when making decisions.
