Melbourne Property News Monthly Wrap – September 2022

How we will achieve your maximum sale price this Spring

Over September’s four weekends the Real Estate Institute of Victoria (REIV) recorded more than 2,346 auctions. 1,435 properties sold. 1,110 at auction, with 616 passed in. 324 properties were sold before auction & 1 property was sold after auction. The clearance rate was 71%, up on August’s 69%.

Demand ran strong for homes across September, although some are taking a bit longer to sell. Here are the important points home sellers need to know this month:

Demand is still strong, with buyers adjusting their aim

There’s a roll-on effect with the different cohorts of home buyers. Because rising interest rates have trimmed loan sizes, borrowing power for many buyers has been reduced by about $200,000. This shift means the home buyers who were aiming for that 1.5 million dollar home, are now looking at 1.3 million homes. Likewise buyers who had a 1.7 million home-buying budget earlier this year, are now turning their attention to 1.5 million homes. 

Why the Melbourne market has staying power

Underwriting the stability of the market is the fact that most buyers are already existing home owners who are trading up, relocating, or downsizing. The significant equity they have already accumulated makes them more resilient against rising interest rates or problems with raising a deposit. These buyers are the backbone of the market. On the other hand first-home-buyers and investors are more exposed to the difficulties posed by rising rates. Even so, analysts report more investors are entering the market again, because rents are on the rise, and immigration is ramping up again, which supports the investment income (CoreLogic).

How we maximise your home sale price

Ensuring your home is in its maximum value bracket at sale time is Vendor Marketing’s goal. It starts with our advice on best presentation. There are many elements to getting this right and we are thoroughly experienced at it. We leave no stone unturned. Determining the right value for your home is another key to a successful sale and we do this with the accuracy you need. A quick look at testimonials on our website shows how often we achieve outstanding results for our clients

Craig Knudsen
Principal Advisor
Vendor Marketing

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