oc | Monday 30th March

Pre-Easter Market Really Motoring Along Now

Big day for sales in the $2ms: Greg Hocking (Greg Hocking Holdsworth), sells 258 Richardson Street after auction, $2,605,000, 3 bidders

At 6.00pm Saturday, the James Clearance Rate for Melbourne’s $M+ was 76% on the 33 auctions we covered. The Weekly Review Bidderman, our bidders per auction measurement, was at 2.2. (Note that we have included an auction from Thursday night.)

This weekend the market continued on its merry way – lapping up WOW homes and circa $2m in particular. As well, seems to be really coming alive on the A graders – not something we can say often.

Overall Summary of Melbourne’s Million Dollar Plus Auctions:

  • Ducks ($M+ auctions with no bidders) 21%
  • Lone Rangers ($M+ auctions with one bidder) 17%
  • Norms ($M+ auctions with 2 or 3 bidders) 38%
  • Volcanoes ($M+ auctions with 4 or more bidders at auction) 24%

Speaking of volcanoes, five of the auctions we covered on the weekend had 5 or 6 bidders – that’s one in seven. That’s big!

$2 million plus Homes

We were involved in bidding at a number of auctions this weekend– but let’s focus specifically on the circa $2m segment, in which we bought 5 from 5.

  • (Barb Gregory) – 5 bidders
  • Toorak (Justin Long) – 6 bidders
  • Brighton (John Clarkson) – 3 bidders
  • Brighton (Leigh Hallamore) – 3 bidders
  • Hampton (Michael and Campbell Cooney) – 3 bidders

There was an average Bidderman of 4 on the ones we bought this weekend. Which means, of course, that on each of these homes bought by one of our clients, there are three wounded’ under-bidders still out there looking for a home.

What the Agents are Saying about $2m homes:

  • Scott Patterson (Kay & Burton, ): “Generally speaking the $2m price point is buoyant. Last month our office sold 30 properties with an average sale price of $2,100,000.”
  • Justin Long (Marshall White, ):”Depending on the calibre of the property, we are seeing an enormous amount of support for properties in that price segment. That is evident in auctions we had today at Landale Road, Toorak (6 bidders) and Stanhope Street, Malvern (4 bidders).”
  • Campbell Cooney (Hodges, Brighton) “It seems there is increased confidence at that level. Certainly with the cost of land increasing, there are a lot of ‘beginner’ properties selling around the $2,000,000 mark in Bayside, especially those in better positions etc.”

Some $2M Auction Results we covered

  • Brighton, 84 Cole Street (Peter Kakos, Marshall White), under hammer, $2,810,000, 3 bidders
  • Camberwell, 25 Kingsley Street, (Walter Dodich), after auction, undisclosed above $2,025,000, 1 bidder
  • Middle Park, 258 Richardson Street, (Greg Hocking, Greg Hocking Holdsworth), after auction, $2,605,000, 3 bidders
  • Prahran, 9 Clarke Street, (Andrew Stuart, Marshall White), under hammer, $2,360,000, 2 bidders
  • South Yarra, 23 Motherwell Street, (Andrew Macmillan, ), under hammer, $2,245,000, 6 bidders
  • Toorak, 2 Landale Road, (Justin Long, Marshall White), under hammer, undisclosed above $2,000,000, 6 bidders
  • Hawthorn, 12 Callantina Road, (John Bongiorno, Marshall White), after auction, undisclosed above $2,025,000, 1 bidder
  • Malvern, 82 Stanhope Street, (Justin Long, Marshall White), under hammer, $2,126,000, 4 bidders
  • Glen Iris, 33 Staughton Road, (Steve Burke, ), after auction, $2,100,000, 1 bidder
  • Glen Iris, 19 Dillon Grove, (John Bongiorno, Marshall White), under hammer, $2,350,000, 6 bidders
  • Middle Park, 265 Richardson Street, (David Wood, Hocking Stuart), after auction, $2,560,000, 2 bidders
  • Brighton, 12 Higinbotham St (Hodges), at auction, $2,600,000, 3 bidders

We are now going into a time of limited new auction stock due to holiday interruptions. That means stronger competition on more limited stock.

For our clients our focus now until early May turns firmly to off-markets, trying to buy before on May auctions, as well as privates and ‘stales’ (older unsold).

Please note there will be no Marketnews next week – as we go into school holidays, the Easter weekend and the  Anzac Day weekend after that.

Size of the Market! – Special James Buyer Advocate Council Blog Reports

Check out our special reports in our Council Blogs on just how much activity is happening this year compared to last year and others.

  • Boroondara Blog with Architect Adam,
  • Stonnington Blog with Call Gina,
  • Bayside Blog with Klarity Kris and
  • Glen Eira and Port Phillip Blogs with help from Karen Bumpstead.

The blogs are interesting reading and you can easily find them on the Marketnews drop-downs on the grey navigation bar at the top of this page.

Bidders, bidders, bidders: A total of 6 bidders at the auction of 19 Dillon Grove, Glen Iris (John Bongiorno, Marshall White), under hammer, $2,350,000. One of seven auctions we covered with five or more bidders!

Record Midweek Bayside – Wow!

If ever you were not that sure about the A-grade home market, just attend a WOW auction with a great agent (Kate Strickland). In Bayside last week (Thursday) new records were set for the suburb at 41 Binnie Street, Brighton East (it was a great home and we were unfortunately the under-bidder – we don’t get every one). This private auction had around 10 – 12 bidders, but only five got a chance as it opened strongly with frenetic bidding in $50,000 lots before it finished on a very strong number.

But in the scheme of things it was a brilliant buy if a great home was your desired outcome – simply the best Bayside home of its type we have seen in some time, and a credit to the builders and architects and owners and the agents who ran an EOI campaign and then reverted to a private home auction. For more detail our read our James Home Rating which was a very solid 796/1000 – www.james.net.au/rating/41-Binnie-Street-BRIGHTON_EAST

10-12 registered bidders at this Mid-week Brighton East Private Auction (Peter Kakos)

But it wasn’t just Brighton East – what about Elwood? Here is another Thursday auction on April 3rd.

Elwood, 10 Byrne Ave, (John Bongiorno), under hammer, $4,840,000, 4 bidders
“10 Byrne Ave, Elwood (Kaine Lanyon) saw a record price for a home in Elwood at this twilight auction on Thursday night, in front of a big crowd of around 80 people. What a great turn out for a mid-week auction! And the crowd didn’t disappoint! Four bidders took the opening bid of $4,000,000 to the on the market price of $4,840,000 with the property selling under the hammer at that very price.”

Big crowd, big sale: 69 Prospect Hill Road, Camberwell (James Tostevin, Marshall White), sells under the hammer, $3,935,000, 4 bidders

Biggest Auctions:

  • Elwood, 10 Byrne Ave, (John Bongiorno, Marshall White), under hammer, $4,840,000, 4 bidders
    Kaine Lanyon and auctioneer John Bongiorno achieved a record price for a home in Elwood at this twilight auction on Thursday night…(See More in Auction Reports)
  • Camberwell, 69 Prospect Hill Road, (James Tostevin, Marshall White), under hammer, $3,935,000, 5 bidders
    With another auction happening nearby finding a park was always going to be a struggle…(See More in Auction Reports)
  • South Yarra, 119 Domain Road, (Gowan Stubbings, Kay & Burton), under hammer, $3,195,000, 2 bidders
    An unbeatable location opposite the Royal Botanic Gardens is the drawcard at today’s auction…(See More in Auction Reports)

Bidderbuzz:

  • South Yarra, 23 Motherwell Street, (Andrew Macmillan, Jellis Craig Bennison Mackinnon), under hammer, $2,245,000, 6 bidders
    The crowd of 90 spreads out across both sides of the street, as auctioneer Andrew Macmillan…(See More in Auction Reports)
  • Glen Iris, 19 Dillon Grove (John Bongiorno, Marshall White), under hammer, $2,350,000, 6 bidders
    ‘Watch this go bananas!’ whispered a knowing crowd member…(See More in Auction Reports)
  • Toorak, 2 Landale Road, (Justin Long, Marshall White), under hammer, undisclosed above $2,000,000, 6 bidders
    Auctioneer Justin Long started what amounted to no less than a volcanic auction when he called for bids from the crowd…(See More in Auction Reports)

Biggest Pass Ins:

  • South Melbourne, 164-166 Nelson Road, passed in, $4,000,000
    Wandering through the house before the auction, it seemed as though there were thousands traipsing through…(See More in Auction Reports)
  • Kew, 4 Barry Street, passed in, $3,150,000, 1 bidder
    A substantial allotment in the coveted Studley Park precinct was on offer at this auction…(See More in Auction Reports)
  • Black Rock, 369 Beach Road, passed in, $3,100,000, no bidders
    With a spectacular view as his backdrop, Mark Earle turned it over to the crowd for an opening bid…(See More in Auction Reports)

 

Deepdene: 2 Campbell Road, Richard James (Jellis Craig), $3,050,000, 3 bidders and big crowd of 100 people

 

Agent Survey: “Is there much stock coming on in the lead up to Easter, and what is May looking like stock-wise?”

Maurice Di Marzio, Hocking Stuart (/Hawthorn): “As April is quite disjointed because of school holidays, the Easter break, followed by Anzac weekend, bookings appear to be down on the same time last year. Having said that we have just experienced large volumes of sales for Feb/March and May bookings seem to looking very healthy. I think it will be a very strong finish to this financial year and I really don’t see any immediate changes in the market that would indicate a slowdown in the second half of this calendar year.”

Andrew McCann, Jellis Craig Bennison Mackinnon (Armadale): “Easter, Anzac Day and the school holidays in the second half of April are certainly affecting the number of auctions for the month albeit we are carrying solid volume for the first two weekends. We expect May to be a consistent month with limited interruptions and following what has been a strong market in March sellers should have the confidence to make decisions to list with the knowledge of good from the buying public. Our booking numbers so far are solid with many conversations now starting to firm around mid and late May Auction dates. Volume will be lifting but not to the levels to satisfy the current so our view is May will be another strong month for .”

Julian Augustini, Hodges (Brighton & ):  “After a very strong March, with the school holidays fast approaching, Hodges expects a progressive week-by-week decline in the number of Bayside Auctions leading up to Easter.  Following the break, many new campaigns will begin; benefitting from a clear run through May absent of any public or school holidays.”

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