Australian property market is more balanced
Of the 795 properties up for auction, just 60% were sold, making yesterday the worst Saturday to sell a house in Melbourne since mid-2005.
Last weekend the clearance rate was 68% and a year ago it was 84%.
The market was “more balanced” this year than in 2007.
Although vendors were not enjoying the same runaway prices, the market had moved to a more sustainable position.
Successive interest rate rises by both the Reserve Bank and banks acting independently, along with sharemarket volatility and the rising cost of living, have all contributed to the dip in consumer interest.
Recent REIV statistics show median values across Melbourne dropped for the first quarter of the year, which also adversely affected the market and gave buyers little reason to bid up flats & houses prices.
In the inner suburb of Abbotsford, Biggin & Scott passed in a two-bedroom terrace in leafy Charles Street, after failing to receive an offer from the 40-strong crowd.
The vendors paid close to $400,000 for the house three years ago, before undertaking a part-renovation. The house was expected to sell for more than $600,000.
Do not give up, and find your place! Cheers!
