Is This Spring Really A Buyers Market In Melbourne?
In This Week’s How's The Market | Edition 83
Is This Spring Really A Buyer’s Market In Melbourne?
A Grand Victorian in Hawthorn
The Biggest Sale In Newtown In 3 Years
Is This Spring Really A Buyer’s Market In Melbourne?
As we are now in Spring and fast approaching Christmas, we are now in the thick of the spring selling season.
As school holidays come to an end, we also expect to see a larger quantity of stock listed in the coming weeks.
With the majority of properties running 4-week auction campaigns and Melbourne Cup being a quiet weekend, there really isn’t that much time left for buyers looking to purchase this year.
Though, how much stock is actually online relative to previous years?
And, are we really in a buyer’s market?
Overall, yes we are in a buyer’s market - one thing that is very important to note that is often missed in media articles is that not all properties are experiencing weak results.
We are still seeing A-grade homes and apartments that are in good locations and present well performing well and achieving premium prices under tough competition.
As there is still a slew of investment stock online that clearly needs work, this makes the good homes look even better and the rest of the investment stock look relatively worse.
CoreLogic has released a graph comparing the amount of stock currently available with that of the previous 5 years for Melbourne and surrounding regions.
Here you can fully see the effects of the current market conditions that Melbourne faces and the results of new taxes and changing sentiments.
Not surprisingly, the Mornington Peninsula has suffered the most with 27.4% more stock than the total over 5 years and a 1.8% fall in prices over the last 3 months.
This market has faired worse due to the new taxes punishing Air BNB income as well as the new taxes on vacant properties like holiday homes and the increases in land tax.
Inner Melbourne has also experienced a significant increase in new stock coming online in the last week of August compared to the previous 5 years showing a huge 74.2% jump.
Overall, this may be the best time in the last 5 years to buy in Melbourne as property listings increase and property values soften creating a strong buyer’s market for Melbourne as we end the year.
What The Agents Are Saying
Agents have expressed concerns and excitement about the increases in stock.
Excitement as listings have been relatively low over the last few years and agents only get paid when they sell properties.
Concern as properties are now becoming harder to sell when they aren’t presented well or they have some compromising features.
Many agents are saying they are having a lot more tricky conversations with vendors recently as they give them the bad news that they have interest below the advertised price guides.
It is also clear the excitement some agents have when they get a great listing and get to experience the reminiscent feeling of offers flooding in and crowded open homes that do still happen, especially where we have been looking for some clients around the inner east.
The Wow Factor!
200 Barkers Road, Hawthorn, Vic 3122
Talk about wow factor!
Check out this facade.
This property is a prime example of a grand Victorian family residence, beautifully renovated while preserving its historic charm from Melbourne’s boom period.
This stunning home boasts a broad frontage and return drive enhancing its charm, inviting you to explore the beautiful outdoor spaces making it an ideal retreat.
The grand tall arched windows adorn a series of exquisite creating a stunning visual contrast that captures the essence of timeless elegance.
This harmonious blend of architecture and nature creates an enchanting setting that beckons you to linger and enjoy the beauty of your surroundings.
Price Guide : $9,000,000 - $9,900,000
In The Media
Historic home notches up biggest Newtown sale in three years
A great example of what I mentioned early in this article.
Great properties in great locations that present well are still achieving great results with this beautiful period property in Newtown Geelong achieving the highest sale price in the last 3 years of over $6m.
Final Thoughts
As stock levels increase and property prices fall - Melbourne might just be primed for one of the best buyer’s markets this spring in years.
If you or someone you know would like assistance to buy this year, book in a call and we can discuss if we can help.
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 general advice and does not take into consideration your objectives, situations or needs. Please consider if this advice is suitable for you and your circumstances and speak to a professional before making any financial decisions.
