Demand rockets in middle and outer suburbs in July
In July the Real Estate Institute of Victoria (REIV) recorded more than 3,581 auctions. 2,461 properties sold, 1,702 at auction, with 412 passed in. 756 properties were sold before auction & 3 properties were sold after auction. The clearance rate averaged 87%, the same as June.
CoreLogic’s National Home Value Index recorded a 1.3% rise across July for Melbourne homes (houses and units). House prices measured alone rose over the last quarter by 4.1%. This means a rise of 16.2% for the last 12 months.
It has never been clearer that home ownership is our No. 1 security and it’s producingsurging values. Which is great news for sellers.
Middle and outer suburbs surge
Big lifestyle changes are driving the new trends. Agents reported surging interest in Melbourne’s middle and outer suburbs in July, with buyers wanting more spacious family properties, further from the city. For the last year, 9 of the top 10 house value rises were in suburbs at least 10km from the CBD.
And people have supercharged buying power because they’ve had to stay near home during Covid. Government buyer incentives, stable low interest rates and fear of missing out are the other big drivers.
Is it a short term trend?
Inner city buyers are charging further out to areas like Warrandyte once again because travel time is currently less of an issue. But is this shortsighted? Go forward a year or two and professionals will be expected to attend the workplace again, plus on-hold immigration will resume – surely the inner city’s renowned traffic problems will be back too, making those 30-40 kilometre commutes an ordeal again.
According to an agent in the Dandenong Ranges (Domain), 80% of current buyers coming to the area are from St. Kilda, Fitzroy and Brunswick. It’s possible though many of this type of treechanger plans on little or no commuting anyway.
Enter your details below to download our FREE Essential Property Selling Guide and learn our 4 steps to success!
1. Real Estate Agent Selection – how we choose the best selling agent for your property
2. Accurate Price Quoting – why is getting this right so important
3. Making The Most Of Presentation – how to best present your property
4. Effective Property Marketing – how we create a winning property marketing strategy
Vendor Marketing – Melbourne’s most qualified vendor advocates will not disclose any of your personal information.