The final few weeks of 2016 are here, and Melbourne’s summer has brought an upbeat mood to the market. This week Melbourne’s auction market had a clearance rate of 79 per cent from 1094 auctions reported. There were 867 selling and 227 being passed in, 104 of those on a vendor bid. In addition to the auctions, there were also 389 private sales reported.

This weekend’s clearance rate was the highest recorded in almost two months in Melbourne. In fact, the spring selling season had produced some incredible results, with the average clearance rate of 79 per cent being the highest recorded in recent years.

The Reserve Bank of Australia will meet for the final time of the year on Tuesday and for the last time until February. It is expected that they will choose to keep official interest rates on hold.


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58 Wolverhampton Street, Footscray.  Sold for $977,000.

The asking price of this unique converted coach house was only $790,000, attracting a range of potential buyers. Five bidders were interested in the polished concrete floors, contemporary style and double-height ceilings of this four bedroom home. Such fierce competition helped push the price $127,000 above the reserve, and it was a young couple who became the new owners.


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20 Marlton Crescent, St Kilda.  Sold for $1,915,000.

This superb wide Hawthorn brick Victorian in a popular St Kilda location always coveted for its character and its convenience sold for $195,000 above its reserve. With a mixed bag of four bidders competing for the property, it was downsizers who outbid younger homebuyers and an investor. The three bedroom home sold for $1,915,000.


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4 Bowen Street, Hawthorn.  Sold for $2,670,000.

Among the 60 attendees to the auction of this four bedroom Victorian home were three bidders. On offer was a beautifully renovated home with a rear extension providing a modern flair. The initial bidding began at $2.32 million, and the property was announced on the market at $2.6 million. This sale price was more than $880,000 above the sale price when the property last sold in 2012.

This weekend Melbourne’s high clearance rate reflects a market in need of fresh stock. A 79% clearance rate was achieved this weekend from 782 auctions held, with 621 selling and 161 being passed in, 69 of those on a vendor bid. There were also an additional 315 private sales reported.

Buyers who are hungry for new stock on the market are making riskier decisions about their next purchase. Some buyers are willing to push the price well above the reserve in order to get the property they want. Whilst others are willing to purchase before selling their current home.

Auction listings, if they continue on current trends, will be down by about 15 per cent for 2016. While the total of private sales and auctions is expected to be down by 8 per cent.

What does this mean? Buyers need to be sensible and know the worth of a property before entering into a purchase. Poorly researched buying can result in shocking re-sale value in the future, which can come as a shock.

The first 2 weekends of the spring auction season have been very interesting! We look forward to seeing how the market will handle the next few weeks.

There is an expected 800 properties to go under the hammer next weekend.


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17 Myrtle Street, Clifton Hill. Sold for $1,435,000.
In a quiet street close to Village cafes, station, Spensley St Primary and parkland, this superbly extended two-bedroom home on a deep block attracted a crowd of 40 to the auction. The first call for bids was met with silence, followed by some dogs barking. The auctioneer tried again to rouse a first bid from the crowd, and received a $1.1 million opening offer. Another bidder joined in and the bidding was fast paced as the price zoomed past the reserve of $1.27 million. The terrace was sold to the second bidder for $1.435 million.


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33 Hannan Street, Williamstown. Sold for $2,230,000.
Integral to the story of Williamstown, originally the homestead for Michael Hannan’s 100 acre farm, this evocative Victorian boasting a rare 24 meter frontage, retains significant status today as one of the area’s most outstanding family residences. The land has decreased substantially since those days, yet the renovated home holds plenty of appeal. In front of sixty onlookers, the auctioneer accepted an opening bid of $1.8 million from one man. Another man joined in and the bids were pushing the price close to $2 million when a third man put his hand up. The property was announced on the market, at $2.12 million, and as the price reached $2.185 million a fourth bidder joined in. It was sold to the first bidder for $2.23 million.


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7 Robe STreet, St Kilda. Sold For $2,720,000.
Soaring ceilings and magnificent proportions define this refined c1880’s era traditional residence positioned in the heart of St Kilda, only a block from the beach. The auctioneer made a vendor bid of $2 million to commence, and two would-be buyers traded $50,000 bids. The price reached $2.4 million, when a man asked if the house was on the market, and it took only a couple more bids before it was declared selling at $2.45 million. It was three bidders who helped push the price $320,000 above the reserve, when the hammer fell to a young family for $2.72 million.

There were some heated auctions around Melbourne on the weekend, with some surprising sales results. For the first weekend of spring, Melbourne achieved a 79% clearance rate. There were 712 auctions held this weekend, with 560 selling and 152 being passed in, 76 of those on a vendor bid. There were also an additional 375 private sales reported.

With less stock on the market, some buyers are finding themselves emotionally attached to a property they want to buy. We have seen a few properties selling well beyond the reserve, in extremely contested auctions. However this trend seems to be more pronounced during periods when auction listings are down.

In the lead up to the AFL grand final, it is unlikely that we will see any 1000+ property auction weekends. Many vendors are holding off their auction campaign until after the finals. Although next weekend there is an expected 850 properties going under the hammer.


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18 Linton Street, St Kilda. Sold for $1,819,000.
Fastidiously renovated & extended to designer perfection, this striking four bedroom home close to Carlisle Street cafes became the scene of a fiesty 40 minute auction. The pre-auction price range of $1.35 million to $1.45 million was not even included in the bidding when the first bidder immediately offered $1.5 million. The bids that followed were rising in $10,000 increments until the three bidders began trading $1,000 increases as the price crept past the $1.58 million reserve. The hammer was brought down to a young man who held on for a price of $1.819 million.


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83 Tarrengower Street, Yarraville. Sold for $1,165,000.
This renovated three bedroom house double fronted Victorian located close to the vibrant village lifestyle in Yarraville soared to $195,000 above its reserve price. The opening bid was a vendor bid of $900,000 from the auctioneer. From there, it was tough competition as three bidders battled it out wanting to become the new owners. As the bidding came down to the wire, the final bid was placed by a young family who were very pleased to win the keys.


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23 Rogers Avenue, Brighton East. Sold For $1,060,000.
Expertly designed to maximise space, this high-gabled 2 bedroom, 2 bathroom villa unit was hotly contested. The single-level property in a quiet bayside street held a reserve of approximately $900,000. It was five bidders who pushed the price well beyond the reserve, after a relatively slow start to the auction. The final two bidders were both keen to live at the property, but one of them eventually had to step down, when a bid of $1.06 million became the winning offer.

A clearance rate of 74 per cent was achieved from 462 auctions this weekend, with 341 properties selling and 121 being passed in, 49 of those on a vendor bid. There were an additional 294 private sales reported.

As rare as it is for Melbourne auction numbers to fall below 500 on a non-holiday weekend, this appears to be the trough before a substantial lift in auction numbers.

Reservoir has recorded the highest number of auction sales in the year-to-date. Other suburbs in the top five are Craigieburn, Bentleigh East, Mount Waverley and Glen Waverley.

The coming weeks will see more vendors placing properties on the market, however we do not expect the spring market to have above average listing volumes.

Next weekend there is an expected 675 auctions scheduled.


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42 Poplar Street, Caulfield South. Sold for $1,330,000
This three bedroom home with art deco features within a superb renovation were an attractive mix for potential buyers of this Caulfield South home. The first bid of $700,000 was quickly knocked back by the auctioneer, telling the man that he was about 20 years too late. A vendor bid of $1 million was then made, which opened up some quick bidding with $10,000 rises from multiple bidders. At $1.25 million, the property was announced on the market, and the seven bidders gradually dropped off around $1.3 million. The hammer fell when a young family placed the winning bid of $1.33 million, which was just above the quoted price of $1.2 million.


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30 Odessa Street, St Kilda. Sold for $1,920,000
This four bedroom, two bathroom family home attracted around 30 people to this auction with the perfect setting of the sun peeking through the clouds. An opening bid of $1.6m started the auction and was met with a vendor bid of $1.625m. The first bidder going back against the vendor to $1.65m when a second bidder enters, the agent not accepting a $10k rise so he ups it to $20k. It was announced on the market at $1.71m. A third bidder joins in and goes head to head with the first bidder with $10k rises from $1.72 – $1.95m with is being sold for $1.95m.


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692 High Street, Prahran. Sold for $1,760,000
The compelling indoor and outdoor dimensions of this gorgeous solid brick Edwardian residence creates an unexpectedly private and tranquil oasis only moments from shops, cafes, Orrong Park, Toorak station and trams. The auction commenced with a vendor bid of $1.4 million, and three bidders became involved. A half time break at $1.66 million saw the auctioneer chatting to the vendors, and it was not long after that when the three bedroom house was “on the market” at $1.68 million. Bidding slowed and the hammer was brought down for $1.72 million to an investor.

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St Kilda is a small suburb of around 3.2 square kilometres, even though it is small it is extremely well known and conveniently located just 6 kilometres south east of Melbourne CBD.

St Kilda is filled with cafes, restaurants, clothing boutiques, medical services and supermarkets.  Two well-known streets are Acland Street and Fitzroy Street, when in Acland Street, call past The Acland Cake Shop – you will not be disappointed.  St Kilda features many iconic locations and to name a few there is Lunar Park, St Kilda Sea Baths, St Kilda Botanical Gardens, St Kilda Marina and a popular restaurant overlooking the ocean, is called Riva St Kilda.

With the ease of public transport at your fingertips, St Kilda has everything that you need to owner occupy or invest!

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