Weekly Market Update - 26th September 2017
By | 26th Sep 17

Your weekly property market update by Frank Valentic

Melbourne continues its consistent performance with another 74% clearance rate from a larger volume of 967 auctions. We have seen the market continue to be a sellers’ market even though there is a higher volume of auctions each week due to the Spring selling season. I was expecting there would be some discussion after my scores on my Buyer’s Advocate appearance on The Block and in particular, my score of 7.5 for Josh and Elyse. Although I said they had the best living area, we were asked to score all the rooms and I based my scores on what buyers will look for in terms of functionality. After bidding on the last nine series, my Block buyers have always wanted a second living area. Also having a mezzanine upstairs bedroom and no door to block off the noise is a problem for families. I am sure all the houses will again attract interest from different buyer segments.

There’s always the debate of whether someone should buy first or sell first when they are looking to change over properties. In the current rising market that we are in we would always recommend the client try and buy first on a longer settlement so they can buy at the cheaper price and then sell second on a shorter settlement so that they can sell on the higher price. Read our comments in our Advantage Property blog here.

I often see investors make mistakes when they are buying property and they often buy in blue chip suburbs when they have already peaked and therefore don’t have the patience to wait for another cycle to see those markets peak again and end up selling those properties without making much capital growth. We always aim to buy for clients to suit their individual property goals, that could be targeting hot spot middle suburbs which are now in the Western and Northern regions to capitalise on some great capital growth and if buyers are buying in blue chip suburbs it really needs to be a long term strategy as they often buy in normal markets that have already peaked.

Please don’t hesitate to check out our website for more information about our popular Buyer’s Advocate, Sellers Advocate, Owner’s Corporation and Property Management services and our latest newsletters as well as our future one bedroom Group Block opportunity in Brunswick (approximately $295,000 each) and future two and three bedroom Elwood Group Block opportunity ($595,000 for three bedroom and $495,000 for the two bedroom).