A day of num­ber crunch­ing

Herald Sun - Property - - NEWS - WITH NI­COLA WEB­BER

TO­DAY is auc­tion day for al­most 1000 home own­ers across the city. This is the first big day of un­der-the-ham­mer ac­tion and there­fore the first big test of the mar­ket this year.

There have been solid clear­ance rates in the past cou­ple of weeks — 66 per cent and 65.7 per cent, ac­cord­ing to RP Data fig­ures.

RP Data re­search an­a­lyst Cameron Kusher said auc­tion vol­umes more than dou­bled last week to 541, up from 253 the week be­fore.

‘‘At the same time last year, there were 597 auc­tions held in Mel­bourne and the fi­nal auc­tion clear­ance rate was recorded at 53.6 per cent,’’ Mr Kusher said.

As more prop­er­ties are go­ing to auc­tion this week­end, mar­ket watch­ers are keen to see whether buy­ers are out in force or sit­ting on the side­lines.

Wake­lin Prop­erty Ad­vi­sory di­rec­tor Richard Wake­lin said the clear­ance rate could fall this week­end thanks to the leap in auc­tion num­bers.

But he said a dip, in­stead of a big fall, could bode well.

‘‘It’s of­ten been the case down the years that a pick-up in the Mel­bourne mar­ket fol­lows an im­prove­ment in the stock mar­ket and the Syd­ney prop­erty mar­ket,’’ he said.

‘‘Both those two boxes have been ticked this time around.’’

Real Es­tate In­sti­tute of Vic­to­ria chief ex­ec­u­tive Enzo Rai­mondo said this week­end’s re­sults might in­di­cate the cur­rent state of the mar­ket this year but could not pre­dict how the year would end.

‘‘In the past five years the weekly clear­ance rate has rarely been the same at the end of the year as it was at the start.,’’ he said.

‘‘Last year it was mostly sta­ble over the year. In 2011 it fell over the course of the year, in 2010 it dropped sharply, in 2009 it rose sharply and in 2008 it dropped. In each year there were a va­ri­ety of rea­sons for the change in sen­ti­ment over the year and vol­umes var­ied as well.’’

The top price paid at auc­tion last week was a four-bed­room house at 4 Penn St in Bal­wyn North, which fetched $1.63 mil­lion.

A new, five-bed­room house at 35 Wil­son Rd in Don­caster (pic­tured) sold be­fore auc­tion for $1.65 mil­lion.

Newspapers in English

Newspapers from Australia

© PressReader. All rights reserved.