oc | Wednesday 20th November

Auction Market back from Winter

Well, did you have a good break – we did, thanks for asking!

First big stats and market reads will come at the end of this month, when we begin the Spring 100 Auction Test. Today is a Marketnews Lite – no D&M’s, no stats – just easing ourselves into Spring and looking forward to it.

Auction campaigns are now starting back from Winter and there feels some buzz about, admittedly on very low stock and admittedly it’s early days and admittedly maybe we’re dreaming, but the positivity of the last few weeks of June seem to have continued (trickled) into the first few weeks of August.

Our take right now is we are not on a rise – it’s just that right now the falling seems to have eased and buyers, sellers and agents seem to have a (temporary?) sense of relief.

Here is an example of the positivity – Ewart St below around noon today

) Two auctions with good crowds of 60 plus – one we were chasing to buy on behalf of expats and one we were watching.

) No 38 Ewart – Tomlinson clan from – quoted $2.3m to $2.5m – 3 bidders and bought under the hammer for $2.66m

) No 19 Ewart – Lachie Fraser Smith from – quoted $2.4m to $2.64m – 5 bidders and bought under the hammer for $2.867m

) Effectively 8 bidders for the two period homes which were bought for a combined $400,000 above reserves.

) Both these homes were well marketed, which meant solid interest. Both were well quoted and on the market legally, proving once again the importance of quoting in this market (see our information video).

) We covered 10 auctions today – 7 sold and 3 passed in.

) We saw 3 volcanoes (4 plus bidders) with 2 ducks (no bidders)

24 bidders or Bidderman 2.4

) In our last 3 buy / sell weeks (leaving out July) – we at James have been involved in 8 buy / sells (totalling $27 million ) – 4 have been off-market and 4 on market.

50% of the market where you can see and 50% of the market behind closed doors.

, 2 James Street. Patrick Dennis (Jellis Craig). After Auction $1,890,000 1 Bidder

People lent on the kitchen bench, sat on the sofa while others, somewhat optimistically, sat in front of the open fire video playing on the television. Patrick Dennis received an opening bid of $1,850,000 and encouraged others after the half-time break to have a go too. One agitated crowd member had some back and forth with Patrick about whether it was on the market after the first bid. The agents were within their rights to pass the property in and negotiate at this point with the sole bidder, Patrick explained that the price was currently squarely within the advertised range. With no further bidding the property was indeed passed in and bought by the genuine bidder soon after.

, 29 Edgerton Street. James Tostevin (Marshall White) Under the Hammer $1,865,000 2 Bidders

A small break in this unbearable Melbourne weather allowed auctioneer James Tostevin to step outside and conduct a quick and to the point auction in Edgerton street. With 2 Bidders and the property announced on the market – it was quickly snapped up for $1,865,000

HAWTHORN EAST, 13 Clive Road. Passed in $2,900,000

The afternoon sun briefly broke through the clouds but did not provide a silver lining for this auction. A vendor bid of $2,900,000 sparked no counteroffer and the property was passed in.


MALVERN,
10 McKinley Avenue. Passed in $2,090,000 2 Bidders

Auctioneer Fraser Cahill flattered the crowd and waxed lyrical about the pocket of Melbourne that we were standing in. A vendor bid of $1,900,000 to open was the line in the sand. Bidders sat quiet. After a break two tussled in $20,000 and $10,000 rises, a tussle between a family and a lone gent. At $2,090,000 it passed into the family for negotiations and some gave a clap to round off proceedings.

MALVERN, 19 Chesterfield Avenue. () Under the Hammer $3,820,000 5 Bidders.

Despite my hopes of a fireside auction, Auctioneer, Jeremy Fox ushered the crowd of 60 into the street. Thankfully bidding was spirited and brisk so we were not left in the cold for too long. Bidder 1 offered an opening bid of $3,500,000 immediately after Mr Fox had concluded his opening formalities. There were soon three more bidders with the price climbing to $3,660,000. After a brief visit inside to seek instructions from the vendors, Mr Fox declared the property on the market and reminded the crowd that housing stock was low. Minutes later the home sold to Bidder 2 for $3,820,000

, 2 St James Street. Passed in $2,500,000 0 Bidders

As with all parties, the crowd gathered in and around the kitchen at 2 James Street this morning. However, despite auctioneer Jeremy Fox’s best efforts and enthusiastic endorsement of Armadale, there were no bids today. The property passed in to a vendor bid of $2,500,000.

, 67 Martin Street. John Clarkson (Buxton) After Auction $1,700,000 2 Bidders

A small crowd of 25 braved the rain and cold winds to watch Auctioneer Johnny Clark. With no hands raised, it seems the crowd was here just to watch. Then, as Mr Clark began to count down to pass into his vendor bid of $1,550,000, Bidder 1 quietly bid $50,000. Bidder 2, in a small group huddle asked about settlement and put forward a bid of $25,000. Then began the process where Bidder 1 was quick and bold and Bidder 2 slowly and quietly considered their options before placing a bid. Eventually, someone called from the crowd that this was an auction not a meeting and, with no further bids, Mr Clark passed the property in the Bidder 1. It later sold during negotiations for $1,700,000.

, 17 Teddington Street. Andre O’Brien (Marshall White) Under the Hammer $2,850,000 4 Bidders.

Auctioneer André O’Brien welcomed the crowd of 80, including numerous Real estate agents and buyer’s advocates, into the family living area. The auction was underway quickly with Bidder 1 answering Mr O’Brien’s call for an opening bid of $2,300,000. Bidder 2 quickly responded with a bid of $50,000 and within minutes, Mr O’Brien announced that the property was on the market at $2,500,000. At this point a third bidder joined the bidding and Mr O’Brien re-iterated the benefits of the Hampton neighbourhood. Bids had dropped to $25,000 and Bidder 1 was in control. Bidder 3 joined in and as the bids began to get smaller, Bidder 4, on the phone also stepped up. At this point, Bidders 2 and 3 were shaking their heads but Bidder 1 remained in firm command, rounding up all of Bidder 4’s odd number bids. At $2,750,000 the property was sold to Bidder 1 with a round of applause.

Come and see what you can do as an agent to help – Next Homelessness Tour August 26th (it’s free)

28,000 Melburnians are homeless – how many is that?

For every working Melbourne real estate agent, there are two homeless people? OMG!  Evidence

Estate Agents have prevented 253 evictions

253 Melbourne  have not become homeless due to early intervention phone calls from major real estate donors: Kay and Burton (Ross Savas, Rebecca Edwards and Michael Gibson) – Marshall White (Marcus Chiminelllo, Rae Tomlinson, James Connell, James Tostevin and Nick Franzmann) – Jellis Craig (Richard Winneke and Geordie Dixon) – Fletchers (Rob Fletcher and Tim Heavyside) – Buxton (Halli Moore, Sonja Sendin and Stefan Whiting) – Nick Johnstone – Greg Hocking

How did they do it?

final-stage-one-jpg-c95d7f

1> Real estate agents reduce evictions by property managers phoning community organisations about a tenant with private rental $ problems and imminent homelessness.

2> If the tenant qualifies then community organisations manage the tenant’s issues.

3> Donors pay one-off back-rents and bond monies to real estate agents from a Homeless Prevention Fund keeping the tenant in the home.

Book a Homelessness tour now and see as a property manager how you can help.

50% of August tour booked already – lead by Launch Housing

Ring us at James 9596 8822 or Chris at Launch on 92889833

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