Melbourne property auction market leaps into spring with house prices rising

This article was first published by Dr Andrew Wilson on 4th Sept 2016 via domain.com.au | Image: Auctioneer Huss Saad of Village Real Estate puts 83 Tarrengower Street in Yarraville under the hammer on the first weekend of spring. Photo: Luis Ascui

 

The Melbourne home auction market reported another strong result for the official start to the spring selling season, with the prospect of solid house price growth continuing.

 

Melbourne recorded a clearance rate of 77.5 per cent on Saturday, which was just below the 77.9 per cent reported over the previous weekend, but higher than the 76.3 per cent recorded over the same weekend last year.

 

Melbourne’s auction results have been remarkably consistent recently, with rates exceeding 75 per cent over the past six weekends and the market at its strongest since last winter.

 

Auction numbers were well down this weekend with 718 listings compared to the previous weekend’s 878 and again well below the 880 auctions over the same weekend last year.

 

The Melbourne market has reported almost 1900 fewer weekend auctions so far this year compared to the same period last year – a decrease of 7.9 per cent.

 

Melbourne’s inner south recorded another strong performance at the weekend to lead the suburban regions, with a clearance rate of 87.4 per cent and the highest number of sales at 83. The next highest regions were the other consistently high performers of the north-east and the north, with clearance rates of 83.8 per cent and 80.9 per cent respectively. The outer east followed with 77.5 per cent, the west with 77.5 per cent, the inner city with 72 per cent, the inner east with 71.8 per cent and the south-east well down on last weekend’s result with a clearance rate of 68 per cent.

 

Notable sales reported at the weekend included:

 

• a two-bedroom home at 51 Rowland Street, Kew, sold for $4.8 million by Jellis Craig;
• a four-bedroom home at 36 Thomas Street, Hampton, sold by Hocking Stuart for $3.25 million;
• a four-bedroom home at 19 Jacka Street, Balwyn North, sold for $3.23 million by Jellis Craig;
• a four-bedroom home at 10 Canning Street, North Melbourne, sold by Nelson Alexander for $2.92 million.

The most expensive property reported sold at auction was a five-bedroom home at 7 Wimba Avenue, Kew, which sold for $6.24 million. The most affordable property reported sold at the weekend was a one-bedroom unit at 13/37 Greville Street, Prahran, which sold for $342,000.

 

 

Melbourne recorded a median auction price of $860,000 on Saturday, which was higher than the $822,500 reported last weekend and 7.2 per cent higher than the $802,000 recorded over the same weekend last year. A total of $376.1 million was reported sold at auction in Melbourne at the weekend.

 

Melbourne auction activity strengthened over August, with total monthly clearance rates increasing from 71.8 per cent in July to 75.5 per cent – the highest result for the year.

 

Melbourne’s median asking price for houses is also on the rise, increasing by 1.1 per cent over the August quarter to $681,429. Prices are now 11.1 per cent higher than the August quarter last year – the best performance of all the capitals.

 

Melbourne recorded a median auction price of $860,000 on Saturday, which was higher than the $822,500 reported last weekend and 7.2 per cent higher than the $802,000 recorded over the same weekend last year. A total of $376.1 million was reported sold at auction in Melbourne at the weekend.

 

Melbourne auction activity strengthened over August, with total monthly clearance rates increasing from 71.8 per cent in July to 75.5 per cent – the highest result for the year.

 

Melbourne’s median asking price for houses is also on the rise, increasing by 1.1 per cent over the August quarter to $681,429. Prices are now 11.1 per cent higher than the August quarter last year – the best performance of all the capitals.