Why this is our most popular blog

We’ve been writing weekly blogs for over a decade now and in this time, we’ve documented trends, various clients’ property adventures, our coal face insights and market updates. From the lows of the 2012 and 2019 market to the highs of our 2013-2017 run, the credit-squeezed pre-May 2019 period to the turbulence throughout COVID lockdowns… it’s been an enormously whirlwind decade for Australian property by anyone’s measure.

We watch readership through our google analytics statistics and it’s intriguing to see one particular article that keeps being regularly searched and read.

In fact, this one single blog has attracted over five thousand unique views in the past twelve month period.

What does “Under Offer” mean?

It is clearly a commonly asked question, even though the blog was penned almost two years ago, and unsurprisingly it is more relevant in this current climate than in previous months this year.

The reason for this is simple. We have an enormous number of properties selling prior to auction now. Traditionally, Melbourne has been the ‘auction city’ and our stock volumes usually increase at this time of year, every year. But 2021 has been something unique for agents, vendors and buyers to navigate.

Melbourne’s extended sixth lockdown essentially put the early spring vendors’ sale plans on hold. With an inability to properly market their properties, many patiently sat it out or pushed their campaign plans into late Spring or early Summer.

In an effort to facilitate the spring market vendors, agents and their agencies have launched a considerably higher number of campaigns than recent historical years, and in order to ‘fit’ every vendor into their schedule we’ve seen a proliferation of shortened campaigns, (down from the usual four week period to just two or three), and in particular, we’ve witnessed a much higher propensity for pre-auction offers being accepted.

Our days are often tipped upside down with an unexpected SMS from an agency advising that an acceptable offer has been accepted, and a short-range timeframe is issued to any other interested parties.

We are seeing shorter days on market, high sales volumes and a lot of erratic vendor and agent activity.

It is increasing too.

Our high volumes of stock have coincided with our city reopening as COVID restrictions ease. Buyers have become more distracted with social plans and newfound freedom, and agents are reporting that while participating buyers are still serious buyers, there is less buyer enquiry and less auction participation.

It’s a subtle supply and demand change for our market.

When fire-hot conditions calm to a more modest heat, agents are the first to notice the temperature change. Any vulnerable campaigns will become their immediate focus, and the potential for a pre-auction offer acceptance will heighten.

It is not a surprise that so many properties are now listed online as ‘Under Offer”. It’s a sign of a slight cooling in tandem with a looming deadline; Christmas break. It’s a deadline every single year for vendors and buyers, and this year is no different.

Buyers need to approach every potential property as though it could attract pre-auction offers.

If they have interest in the property, they must make it obvious to the agent. There is nothing more upsetting than seeing these dreaded two words on a property of interest when the early sale was unexpected.