Late Spring Surge Sees Major Markets Ease
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Late Spring Surge Sees Major Markets Ease

An increased number of listings is testing buyer depth in Sydney and Melbourne.

By Kanebridge News
Mon, Nov 22, 2021 10:26amGrey Clock 2 min

Another surge in Saturday auction numbers has acted to reduce auction clearance rates in Sydney and Melbourne with 2764 auctions scheduled for the weekend compared to 1470 for the same weekend last year.

Strong results from the smaller capitals – such as Brisbane (85.6%), Adelaide (84.7%) and Canberra (92.25%) — assisted a recovery in the national weekend auction clearance rate to 82.3% compared to the previous weekend’s 78.6% and well ahead of the 72.8% recorded over the same weekend last year.

Sydney saw a wave of end-of-year auctions test buyer depth of the local market.

The NSW capital recorded a clearance rate of 76.3% at the weekend – lower than the previous weekend’s 77.8% and similar to the 76.4% recorded over the same weekend last year.

In total, 1075 homes were listed for auction on Saturday – well ahead of the previous weekend’s 988 and significantly higher than the 728 auctioned over the same weekend last year.

Sydney recorded a median price of $1,761,000 for houses sold at auction at the weekend — lower than the $1,780,000 reported over the previous Saturday but 32.4% higher than the $1,330,000 recorded over the same weekend last year.

Melbourne’s market also eased over the weekend reporting a clearance rate of 72.5% on Saturday, lower than the previous weekend’s 77.7% and also lower than the 76.7% recorded over the same weekend last year.

The lower clearance rate comes as listings surged with 1275 homes listed for auction at the weekend — well above the 1206 reported over the previous weekend and significantly higher than the 530 auctioned over the same weekend last year.

Melbourne recorded a median price of $1,064,500 for houses sold at auction at the weekend — lower than the $1,080,000 recorded over the previous weekend and 4.0% lower than the $1,108,500 recorded over the same weekend last year.

Data powered by Dr Andrew Wilson, My Housing Market.



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Property values have experienced strong growth around the country, but there are two highly desirable areas where oversupply is putting downward pressure on sales

By Bronwyn Allen
Tue, Jun 18, 2024 2 min

While property values are rising strongly in most markets across Australia, it’s a vastly different story in Victoria and Tasmania, new data from CoreLogic shows. Over the 12 months to May 31, the median house price lifted just 1.8 percent in Melbourne and fell 0.6 percent in regional Victoria. The median dipped 0.1 percent in Hobart and ticked 0.4 percent higher in regional Tasmania. This is in stark contrast to Perth, where values are up 22 percent, and regional Western Australia, up 14.8 percent; as well as Brisbane, up 16.3 percent, and regional Queensland, up 11.8 percent.

CoreLogic Head of Research, Eliza Owen says an oversupply of homes for sale has weakened prices in Victoria and Tasmania, creating buyers’ markets.

On the supply side, there has been more of a build-up in new listings than usual across Victoria, even where home value performance has been relatively soft,” Ms Owen said. Victoria has also had more dwellings completed than any other state and territory in the past 10 years, keeping a lid on price growth. The additional choice in stock means vendors have to bring down their price expectations, and that brings values down.”

Melbourne dwelling values are now four percent below their record high and Hobart dwelling values are 11.5 percent below their record high. Both records were set more than two years ago in March 2022. The oversupply has also affected how long it takes to sell a property. The median days on market is currently 36 in Melbourne and 45 in Hobart compared to a combined capitals median of 27. It takes 55 days to sell in regional Victoria and 64 days in regional Tasmania compared to a combined regional median of 42 days.

Changes in population patterns have also contributed to higher numbers of homes for sale in recent years. Since COVID began in early 2020, thousands of families have left Melbourne because working from home meant they could buy a bigger property in more affordable areas. While many relocated to regional Victoria, a significant proportion left the state altogether, with South-East Queensland a favoured destination. Meantime, Tasmania’s surge in interstate migration during FY21 was short-lived. Data from the Australian Bureau of Statistics shows the island state has recorded a net loss of residents to other states and territories every quarter since June 2022.

Record overseas migration has more than offset interstate migration losses, thereby keeping Victoria’s and Tasmania’s populations growing. However, the impact of migrants on housing is largely seen in the rental market, so this segment of population gain has done little to support values. Growth in weekly rents has been far stronger than growth in home values over the past year, with rents up 9 percent in Melbourne and 4.8 percent in regional Victoria, and up 1 percent in Hobart and 2.7 percent in regional Tasmania.

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Just 55 minutes from Sydney, make this your creative getaway located in the majestic Hawkesbury region.

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