Weekly Property Market Update - June 4, 2018
By Advantage Property | 4th Jun 18
Your weekly property market update by top Buyer's Agent, Frank Valentic
We now officially have a two-speed market in Melbourne where the million dollar plus market is weaker and there is definitely less demand compared to the lower entry level market where First Home buyers are dominating under $750,000. The clearance rate for the weekend again presented more opportunities for buyers with a 62% clearance rate from 843 auctions. Finally, the tables have turned and are giving some great opportunities for buyers to take advantage of pass in auctions and less competition than we have seen in the last six years of this property cycle.
Melbourne’s outer suburbs continue to be the star performers and they have taken over as the leaders in capital growth and demand. We have seen this in many of the middle suburbs such as Ardeer and Broadmeadow’s and outer suburbs like Werribee are dominating in terms of capital growth, with Ardeer leading the nation, with 35% growth in the last twelve months. Read our comments in Scott Carbines article https://www.realestate.com.au/news/coburg-unit-tops-reserve-by-111000/
We are often asked whether houses or apartments are better investments but we are finding a growing demand for the in-between property which is townhouses. Many townhouses have some decent land content and therefore are the in-between option for buyers that can’t afford houses but might be able to afford apartments but would prefer some land content. We expect the demand for townhouses to continue as house prices rise out of many buyer’s price ranges. Prices continue to rise in Melbourne and forty-four percent of people surveyed recently said that their biggest worry was crime and their second biggest worry was housing. This is a very big factor for many people as affordability has pushed the prices above many buyers’ budgets.
Watch: Tracy Orr shares her insights and tips on preparing your property for a successful sale.