With half of the Australian population restricted to their homes this weekend, the usual Saturday auction frenzy looked a little different.
But buyers, sellers, agents and auctioneers across Sydney, Melbourne and Brisbane proved once again that the restrictions could not dampen the hot auction market.
Australasia’s largest real estate group Ray White reported a preliminary clearance rate of 87 per cent of its 105 auctions conducted today, with a whopping 7.4 average registered bidders per lot - almost double the number of bidders on a year ago.
More than half of the group’s 356 booked auctions today did not proceed, most postponed to a later date when the snap lockdowns were announced, but those sellers who opted to push ahead with the proven online format were richly rewarded.
Ray White Chief Economist Nerida Conisbee said the biggest challenge right now was a lack of stock.
“Winter selling season started off incredibly strong but lockdowns throughout July dramatically decreased the number of properties for sale, particularly in Sydney,” Ms Conisbee said.
“The best case scenario for buyers is that these lockdowns end as soon as possible. Our analysis of previous lockdowns has shown a jump in properties for sale once they end.”
As Sydney and other parts of NSW endured another week of lockdown, Ray White New South Wales Chief Auctioneer Alex Pattaro said online auctions once again proved themselves as the best way to sell.
“Sellers who decided to come to market are reaping the rewards with strong prices, typically obtaining over reserve and smashing buyer feedback indications,” Mr Pattaro said.
“While we understand the hesitation around coming to market, sellers need to be assured that the Ray White group has measures in place to ensure everyone is kept safe.
“If you want to come to market, now is an exceptional time before more stock comes to market later in the year,” he said.
The highest sale of the day was at 26 Fitzroy St, Abbotsford, where a freestanding art deco home with harbour views sold for $4,740,000, smashing its set reserve price of $4.1 million by a huge $640,000.
The auction drew an online crowd of onlookers and six registered bidders who battled it out with nearly 40 bids.
“The vendors were absolutely ecstatic; there were no nerves or hesitation to list and sell their home during the lockdown, and we had a number of private inspections throughout the campaign,” said the selling agent Chris Wilkins of Ray White Drummoyne.
“The online videos we produced also really helped during this time, but I believe the true beauty of a home has to be seen in person.”
“The online auctions actually are extremely successful - it can attract even more bidders who can login from the comfort of their own home,” he said.
The winning buyers were a young family from the inner west of Sydney, who viewed the property via private inspection a number of times.
In Sydney’s south this solid red brick home at 9 Cashman Rd, Brighton-Le-Sands sold for $2.69 million after a marathon auction was held by auctioneer Alex Pattaro in his purpose-built multi media “green room”. The two bedroom home on almost 700sqm smashed its set reserve price of $2.1 million by $590,000.
The auction got off to a great start, with the second bid coming in $200,000 above reserve.
Ray White Brighton-Le-Sands | Ramsgate Beach Principal Peter Tsekenis was able to attract a huge 19 registered bidders to the auction, after a totally locked down campaign.
“We had a discussion with our vendors about listing during the lockdown, and we unanimously agreed that the lack of large blocks in this area would mean a great result for them regardless,” Mr Tsekenis said.
Mr Tekenis said the new online format was fantastic and easy for all involved, and that it will likely even continue post lockdowns.
“Another bonus is that we all can attend the auctions in our slippers!”
After the sudden lockdown was called in Brisbane last weekend, Ray White Queensland Chief Auctioneer Gavin Croft swiftly moved all auctions online.
“We are seeing a huge influx of bidders, and it is really fantastic to see more than 30 onlookers at all our online auctions,” Mr Croft said.
Ray White New Farm | Bulimba | Spring Hill | East Brisbane group made a wise decision to push forward with their online auction event in a digital format, where five from five properties across inner Brisbane sold under the hammer.
More than 50 bidders and an extra 50 onlookers tuned in for the auction event, with Principal and Auctioneer Haesley Cush commenting that a lot of the properties were only two-week campaigns.
“When people are at home, their search for real estate is intensified, in the same way all online shopping is,” Mr Cush said.
“Lockdown has meant that people really have time to browse, chat to agents, get their finance approvals sorted. They also don’t have to worry about travel or babysitters when it comes to auction time.
“The pandemic has made people face inward and place greater value on where they live, which explains the huge bidder numbers of late.”
Mr Cush said the quick switch to moving online has been met with much less angst than at the start of the pandemic.
“What we saw today was a perfect example of how well we have all adapted. Online auctions have been around for a while, but they are now commonplace in the industry,” he said.
The five properties on the order of sale:
Lot 1: 11 David St, Morningside - Brandon Wortley & Daniel Lazzaroni - $2,012,000
Lot 2: 69 Quay St, Bulimba - Jonothan Peck - $2,155,000
Lot 3: 13 Arthur Tce, Red Hill - Nick Mogridge & Matt Lancashire - $1,706,000
Lot 4: 15 Hazlewood St, Paddington - Tom Lyne - $950,000
Lot 5: 36 Harris St, Hawthorne - Brandon Wortley & Scott Darwon - $3,310,000
With real estate settings across Melbourne relaxed for just nine days before their sixth lockdown, Ray White agents and auctioneers once again found themselves in the familiar position of a frantic rush to move onsite auctions online.
Ray White Victoria and Tasmania CEO Stephen Dullens said today was another example of the industry adapting quickly.
“We’ve seen once again the situation change very quickly - after only a single weekend of on-street auctions - we’re back online. Our agents have done a terrific job to communicate with vendors and buyers to ensure we could adjust to the new settings, something that is now becoming almost automatic,” Mr Dullens said.
“While our volume was already lower this weekend due to the short timeframe from the previous lockdown, the vast majority of auctions that were scheduled have gone ahead.
“Buyers remain undeterred, with a lack of listings unable to meet the strong demand.”
One such auction which experienced the wrath of hungry buyers was at 50 Brassey Ave, Rosanna, which sold for $1,780,000, smashing the set reserve of $1,430,000.
The auction attracted seven registered bidders online, and the winning bidders were a local couple. The vendors were selling ahead of an interstate relocation.
Ray White Macleod Senior Sales Executive Brett Schembri said he and his team calmly navigated the switch to online, and were thrilled to deliver such an outstanding result for their sellers.
“We were confident to convert this auction online, and had already consulted with the vendors early on in the piece about the very real possibility of this happening,” Mr Schembri said.
“The buyers were also very comfortable with tuning in and bidding from home. We were fortunate enough to have a seamless campaign and were able to fit in face to face open homes,” he said.
In Wheelers Hill, 17 Banksia Court sold for $1,285,000 as 25 registered bidders battled it out online, to push far past the reserve of $985,000.
Ray White Glen Waverley’s Marc Lum said an extra 40 people tuned in to watch the action-packed auction unfold.
“The buyer is a local man who is looking to develop on this block eventually, when the tenants leave in March next year,” Mr Lum said.
“The auction was fantastic; the opening bid was $800,000 and the second bid made a huge jump to $920,000, and it just went off from there.”
On the fact that Mr Lum had a matter of hours to pull together the online auction, he said it wasn’t a problem.
“Nothing surprises us anymore, so at this point in time the buyers and sellers are used to the changing process,” he said.
“People need to continue transacting property, and moving on with their lives, and I can assure you that the buyers don’t mind whether the auction is in person or online.”
Proving how hot the unit market in Melbourne is, 1 / 5 Belmont Road West, Croydon South sold for $897,200. A huge 56 spectators and bidders joined the live auction, with two keen bidders battling it out before the hammer fell to a first home buyer.
Ray White Ringwood Director Chris Watson said his team have recently been selling high quality units for premium prices.
“We pushed this auction date back two weeks, after going straight into the previous lockdown after launching to the market.”
“It is so easy to switch to online; we even get the neighbours tuning in for a look, just like they would if it was on the street!”
Ray White South Australia Chief Auctioneer John Morris said in keeping with tradition of the last few weeks, bidding registrations hovered around 10 per auction.
“We sold 100 per cent of our auctions today, with plenty of action to go throughout the weekend,” Mr Morris said.
“We have an amazing number of auction advocates in our state network, and they are continually producing fantastic results for their clients.”
Ray White Norwood’s Linda Clemente had a fantastic sale at 6 Darryl Avenue, Athelstone which sold for $867,000, smashing the reserve of $825,000.
“The sellers are absolutely over the moon, and the buyers, a lovely young couple with a newborn, are also thrilled to be moving into their new home,” Ms Clemente said.
The auction attracted a whopping 28 registered bidders, and was an exciting race to the hammer drop.
“The lack of stock in this area has really driven up the bidder numbers, with only four houses currently on the market in this lovely quiet family-oriented suburb,” Ms Clemente said.
In nearby Ridgehaven, a 70s style brick home at 12 Kerrison Ave sold for $516,000, well above the owners expectations.
Ray White Norwood agent Ryan Stapleton said 11 registered bidders showed up to try their luck, with a heartwarming twist for the buyers.
“The buyers, a young couple, had missed out on seven of our auctions over the past nine months,” Mr Stapleton said.
“The sellers of this house had seen this couple miss out at another auction, and recognised how devastated they were.
“The sellers were thrilled when this couple came out and won their home, with lots of hugs and happy tears.”
Mr Stapleton said the strategy of these buyers was to bid high early, and bring down the possibility of many increments.
"They knew what they wanted, and made it clear to the other bidders."
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Media Contact:
Nina Clarke
Ray White Group
0448 841 606
nclarke@raywhite.com
