Market update 1st September 2020
By Advantage Property | 31st Aug 20
Melbourne’s property market has slowed considerably as we are four weeks into the Stage 4 lockdown with no inspections of properties allowed. The volume of auctions was less than 100 this weekend compared to most winter weekends in previous years having volumes of 500 to 700 auctions at this time of the year. It would seem there will be much pent up demand as we have many buyers ready to buy and we expect quite a few properties to hit the market as many sellers hit the pause button as their properties couldn’t be marketed or inspected.
Though that hasn’t stopped some buyers buying properties sight unseen which we do not recommend for any of our Buyers Advocates clients. A agent on the Mornington Peninsula has said they have sold four properties sight unseen to Melbourne buyers, including one we were looking at in 22 Coburn Ave, McCrae which sold the full asking price of $1,750,000 to a buyer relocating from Fitzroy North permanently. They hadn’t even seen the property and this happened with another three transactions this week. I really struggle to understand how anyone could spend hundreds of thousands of dollars or in this case millions of dollars and not inspect the property. This is a massive risk, particularly for an owner occupier who is going to live in the property long term.