Auction numbers are down considerably in comparison to last year with 656 auctions were reported to the REIV on the weekend (same time last year was 1,296 however we just came out of a long lockdown), 329 sold at auction, 119 sold before auction, 1 after auction and there were an additional 175 private sales.
As the weeks get close to Christmas, it appears to be becoming less likely there will be a late run of properties or even buyers coming into the market. The feeling around the city is that Christmas has already begun. Christmas trees are up, some parties are happening, shops are filled with Christmas items for sale, Santa has even arrived at the shopping centres for photos. This is unusually early to previous years.
As a result, I feel that the window for buying property this year is going to cease a little earlier than anticipated (although there will no doubt be quiet/off market transactions happening right up until Christmas Eve). Stock levels will likely remain low and there will be some very motivated vendors who are wanting to sell their properties before Christmas. On the flip side to this though, it doesn’t appear that there will be a huge amount of vendors rushing to put their properties on their market early next year either. So we could be in for a bit of slow start unless the RBA pauses interest rate rises, which appears to be on the horizon. This could stir up activity from both buyers and sellers.
On the ground, auctions were patchy with some properties selling under the hammer with multiple bidders, some properties selling immediately after passing in to one bidder and others passing in and going back on to the market as private sale. Runaway results are few and far between. There is still a willingness from buyers to transact but some are waiting until vendor’s expectations come down to a price they are willing to pay.
159 Park Drive, Parkville went under the hammer with auction participation from three bidders. The stunning terrace home which had been restored keeping many period features and blending with some modern touches was sought after but secured by a downsizer couple. The property was quoted $3,000,000 to $3,300,000 prior to auction and sold under the hammer for $3,535,000.
Have a great week.