Buyer’s Agent Weekly Property Report - May 10th 2016
By | 10th May 16

This week's video is the second May property market update by Frank Valentic.

Melbourne’s clearance rate remained consistent at 73% with 789 auctions being conducted. There were more record breaking sales results being achieved throughout Melbourne. A 4 bedroom period home located at 1 Walter Street, Sunshine sold under the hammer for a record $1,030,000. A block of art Deco apartments in Elwood located at 389 Barkly Street sold under the hammer with competition from 6 bidders for $4,500,000 at a rate of $5079 per sqm. We purchased a unique property for one of our Buyer’s Advocate clients at 19 Essex Street, Footscray. The former fish and chip shop had received a lot of media attention and we were featured on Seven News. To watch the short clip about the booming housing market, please CLICK HERE.  

The RBA interest rate cut did little to alter the clearance rates nationally, however these cuts were handed down to owner occupiers and later to investors that are paying a higher rate under the new lender legislation introduced last year. We have continued to see a healthy housing market achieving record prices with families choosing to head to the middle and outer ring suburbs as prices continue to rise and development and subdivision lessens the supply of homes on the desired 600sqm plus blocks. To read the full article published by the Australian Review on interest rate cuts please, CLICK HERE

Changes to foreign buyer regulations are being introduced as of July 1st and an increase in purchasing taxes in an attempt to assist local buyers and slow the rate of growth within certain suburb pockets. In 2015, Chinese buyers acquired around $46.5 billion worth of Australian Real Estate with $15.3 billion of it being within Melbourne. According to the Herald Sun their favourite suburbs are the beachside suburbs of Brighton and Port Melbourne which offer many lifestyle perks. It will be interesting to see if the minor increases to taxes in any way deters foreign buyers. I predict we will see little impact on the market. To read the full article please, CLICK HERE.

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