There was a positive buzz at Ray White auctions across the country today as lockdown restrictions eased in Sydney and Melbourne and bidders headed back onsite.
Australasia’s largest real estate group recorded a preliminary auction day clearance rate of 85 per cent across the country today.
While Sydney produced the top sale of the day and Brisbane had the top number of bidders, the standout city by clearance was Adelaide, recording a preliminary clearance rate of 93.3 per cent.
Of the 321 scheduled auctions for Saturday, 115 proceeded to auction, with average registered bidders booked at 7.2 nationally and of those four active bidders on average. Notably, an auction in Brisbane had 35 registered bidders which demonstrates the intense buyer demand.
While house prices have been increasing on the back of strong demand, Ray White chief economist Nerida Conisbee said a jump in properties for sale was expected now lockdowns had ended which was likely to calm price growth.
“Most sellers are subsequent buyers. Given this is the case, it can be stressful to sell if you’re finding it difficult to buy again in a strong market,” Ms Conisbee said.
“While listings are down at the moment, we’re seeing a decent number of listing authorities (sellers signing up but the property is yet to be marketed).
“Many sellers are waiting for lockdowns to end to sell their property. This is consistent with what we‘ve seen in previous lockdowns.
“A big uptick in properties for sale is great news for buyers. As well as giving more choice, it does tend to calm price growth.”
Ray White New South Wales chief auctioneer Alex Pattaro said it was a strong week for the Sydney auction market.
“Good properties in good locations continue to be snapped up by buyers,” Mr Pattaro said.
“Sellers need to remember that these are the best market conditions we have ever seen and if properties are passing in then price needs to be reconsidered.
“Buyers are happy to pay a premium when there is competition, although they won't stretch their budgets if competition isn’t there on auction day.
“More choices in the market are making buyers more selective which may have implications on vendors' hope prices over the coming months.”
In Randwick, a three-bedroom home at 1 Ethne Avenue sold for $3.1 million.
With three registered bidders on auction day, the auction was called by Ray White New South Wales corporate auctioneer James Kerley.
Ray White Woollahra | Paddington director Clay Brodie said the vendors were very happy with the result.
“The home had been in the vendor’s family since it was built in 1912,” Mr Brodie said.
“They were owner-occupiers who were downsizing.
“The buyers are a young family who wanted a backyard for their child.”
Mr Brodie said the auction had been his first since lockdown lifted and he had noticed a positive buzz.
“There’s quite a nice buzz out with people actually able to go to open homes,” he said.
“There seems to be a few more properties on the market but it doesn't seem to be slowing down.
“It’s going to take a huge amount of properties to cater to the amount of buyers who are on the hunt.”
A property at 1/96 Surrey Street, Darlinghurst, sold under the hammer for $2.435 million -- $135,000 above reserve -- a great result for the vendors and Ray White Taylor and Partner’s listing agents Annie Hodgson and Walter Burfitt-Williams.
With three registered bidders on the day, Ms Hodgson said the vendors (pictured above) had lived in the property for 11 years and were very happy with the result.
“Location was really important, so many people love Surrey Street,” Ms Hodgson said.
“Everyone who inspected the apartment couldn't believe how quiet it was.
“It’s fantastically presented, a beautiful apartment.”
The winning bid went to an owner-occupier.
In fantastic news for Victoria and particularly Melbourne, lockdowns have officially ended with additional freedoms returning to our communities. While confidence in real estate is already running high, significant relaxation of real estate settings right across Victoria will no doubt drive further confidence into the market.
Ray White Victoria and Tasmania CEO Stephen Dullens discussed the impact these relaxed restriction settings were likely to have on the market.
“This week Melbourne officially returns to onsite auctions, now allowed with up to 50 attendees who are fully vaccinated. Despite this, of the nearly 150 auctions being called by Ray White agents across Victoria this week, most have chosen to remain online to ensure all customers can participate with lower attendance numbers,” Mr Dullens said.
“With a preliminary clearance rate approaching 90 per cent, this shows just how much our customers have embraced changes in technology in recent months and years.”
While online auctions will continue to be embraced by the industry, Mr Dullens said with further restrictions easing, many more auctions will return to the onsite format.
“While relaxed restrictions are certainly welcome, the biggest difference will be when Victoria reaches 80 per cent double dose vaccination, expected in the next week or so,” he said.
“This will allow up to 500 fully vaccinated customers to attend an on-site auction, essentially getting us back to covid-normal.
“We can’t wait to welcome customers back to onsite auctions and as confidence grows, we’re expecting a strong end to spring and very busy start to summer.”
Ray White Cheltenham director and chief auctioneer Kevin Chokshi was back in action with two fantastic homes selling under the hammer during the onsite auctions.
A stunning two-storey, four-bedroom, home at 18 Baker St, Moorabbin sold for $1.455 million -- $205,000 above reserve -- a fantastic result for the vendors who had lived in the home for seven or eight years.
The property attracted five registered bidders on the day, with three active.
“It was a house on a smaller block, so it was good for people who maybe couldn’t afford a full block but wanted a beautiful home,” Mr Chokshi said.
“It’s a beautiful four-bedroom, two-bathroom, home.
“A lot of young families liked it, it was very much a family home.”
The winning bid went to a family who intend to live in the home.
In Cheltenham, 1/1284 Nepean Highway, sold for $806,000 -- $86,000 above reserve.
Mr Chokshi said the property attracted a lot of interest from investors, first home buyers, and downsizers with 54 private inspections conducted prior to auction.
“It was a single-level home, only one two on the block with a large private backyard,” he said.
“It was bought by a young first homebuyer who was bidding with her parents.”
Mr Chokshi said he was happy to be back conducting his first onsite auctions in four months.
“There was lots of positive energy around a good vibe,” he said.
“Everyone was standing around with their coffees from the local cafe.
“It was like the good old days were back.”
Another Cheltenham property at 74 Centre Dandenong Road sold under the hammer for $1.2 million, with six registered and active bidders.
The winning bid went to a couple who are soon to be married in February next year.
“Great floorplan with a lot of natural light & cracking backyard,” said Ray White Cheltenham sales manager and listing agent Alex Pearson.
He said the demand for properties in the area had been high.
“We are seeing a huge demand in buyers in the market place, due to the growth they just want to get in,” he said.
“We suspect a lot more stock will come to the market in the coming weeks.
“The market looks likely to keep climbing throughout the remainder of the year.
“We suspect there will be auctions up until the week of Christmas and then continuing in the first week of January.”
Ray White Queensland’s clearance rate eased to 79 per cent last week but chief auctioneer Gavin Croft believed the energy in the market would drive clearance rates up again.
“What we’ve seen today in the market place and in fact right across this week is some real urgency, some real power, and some real spark back in the market,” Mr Croft said.
“That started this week with all of the inroom auction events that were run from the northern end of the Gold Coast right through to the north side of Brisbane - we saw close to 100 per cent clearance rates across four major inroom auction events.
“Based on today’s observations and what we’re seeing out in the marketplace, I suspect we’re going to see a spark back in those clearance rates this week, with the extraordinary fuel and energy in the market today, the energy, the crowds -- it was all on display.”
Buyers turned out in force at Alderley today, with a property at 6 Verdun St attracting 35 registered bidders and selling under the hammer for $1.275 million -- well above reserve.
With five bidders active during the auction, Ray White Alderley listing agent Janine Macdonald said the vendors, investors who had owned the property since 1997, were ecstatic with the result.
“The property was popular because of its character and it was raised to legal height and slabbed in under,” Ms Macdonald said.
“It’s in a lovely sought after pocket.
“We had a lot of very disappointed buyers, the bidding opened at $1.1 million, so it opened very high.”
The winning bid went to a young couple of first home buyers who bought the property alongside their parents (pictured above).
In Ashgrove, 11 Caneby Street, sold under the hammer for $1.46 million reserve -- $260,000 above reserve.
With 16 registered bidders and seven active bidders, including two bidding online from Melbourne, Ray White Queensland CEO Jason Andrew called the auction onsite.
Ray White Ashgrove principal and listing agent Adam Downes said the property was in a great location and had great potential.
“It’s an original 1979 brick home in a blue chip street in a blue chip suburb,” Mr Downes said.
“The vendor inherited the property from his father who built it, so it's been in the family since 1979.
“I think he said his dad bought the land for $12,000.”
The winning bid went to a young couple (pictured above with Ray White Ashgrove principal Adam Downes) who are going to live in and renovate the home.
In Auchenflower, a property at 35 Birdwood Terrace has been snapped up by a buyer who lives in the same street.
The property sold for $1.55 million with three registered bidders and two active bidders.
“It’s a two-storey, two-bedroom, post war home,” Ray White Paddington listing agent Judi O’Dea said.
“It’s the worst house in the best street with beautiful northerly views, it’s liveable.
“The person who bought it lives in the street. They’re a couple with adult children who might rent it back to them.
“In the future they might knock it down and build their downsizer home eventually.”
With Ray White South Australia conducting 64 auctions across the state in the past week, equating to more than 30 per cent of total auctions statewide, chief auctioneer John Morris said he had been run off his feet.
“I’ve been calling so many auctions over the past weeks and months that my voice this week refused to work. Luckily come Friday my voice was almost back to its fine form and I was able to call auctions for my clients,” Mr Morris said.
“While my voice might not have been quite at 100 per cent, my clearance rate was, with 9/9 auctions selling so far under the hammer this week.
“The preliminary clearance for this week so far is about 90 per cent with 8.6 registered bidders per auction. This is better than last week which was 82 per cent with eight registered bidders.
“We have another 63 auctions scheduled for next week.
“It looks like Ray White is going to completely dominate the auction space, as it has done for many years, for the entirety of 2021.”
In Westbourne Park, 6 Shearer Avenue,sold under the hammer for $1.45 million -- $250,000 above reserve-- a great result for the vendors and Ray White Norwood listing agent Reece Pilgrim.
The vendors had lived in the home for decades and had decided to downsize.
Mr Pilgrim said homes in the Westbourne Park area were highly sought after.
“It’s a nice four-bedroom character home in a blue chip area,” he said.
“We had both local and interstate interests.
“The people who bought it had recently moved back to Adelaide from Paris during COVID and intend on living in the home.”
Another fantastic result for Ray White Norwood went to 48A Breaker St, St Morris, which sold for $1.3305 million -- $380,500 above reserve.
Ray White Norwood listing agent Brandon Pilgrim said the vendors (pictured above), who had retired and moved to regional South Australia, were very happy with the result.
The property received a lot of interest with 25 registered bidders and seven active bidders on auction day.
“It was a really well designed and built home,” Mr Pilgrim said.
“It was only a smaller place, but it suited a variety of people -- downsizers, or families who wanted a low maintenance lifestyle.
“It was in a really nice pocket of Adelaide.”
The winning bid went to a local owner-occupier who was downsizing.
In Western Australia, Wembley Downs property 7 Glenelg Ave attracted keen interest with 17 registered bidders and seven active bidders at auction.
The property sold under the hammer for $1.65 million, some $50,000 above reserve.
The deceased estate was sold to a developer.
“It’s a great property for developers because it's a big block with an old house, which can be subdivided into two blocks,” Ray White Dalkieth | Claremont listing agent Peter Kasten said.
“It’s 300m from one of the premier public schools in Perth, and directly across from the house was native bushland.
“So there were many factors which made it attractive.”
Mr Kasten said the Perth property market had been hot.
“For a spring selling season there’s very little on the market and there’s lots of buyers,” he said.
“It’s a very strong market.”
