Our first 2017 Spotlight

After a very busy 2016 Spring selling season which drifted well into December, house-buyers could be forgiven for wondering when the market conditions would ease for them.

Auctions were generally well attended and properties highly contested; and it’s fair to say that even with higher stock levels in late November and December, houses on the market were still limited in numbers compared to prior years. Owners are holding onto them. Buyers are fighting hard for them and investors are sometimes watching emotional bidding drive prices beyond all expectations.

So how will the new year greet us when the first official auction weekend commences in six days?

There is considerable pent-up energy in the market right now. This is evident when hoards of people are walking through an open for inspection, or when prospective buyers are lining up at the door giving their details to the agents.

Special thanks to Kate Bond for her illustration of this charmer in Moonee Ponds

Every year I tell buyers not to judge the market conditions based on early February. Some buyers hit the auctions with gusto and are absolutely determined to buy, no matter what. We often see a mix of both very strong results and surprising auction results. Whether it be a situation where many attend and nobody bids, or whether five people fight it out above reserve, February is often full of surprises. And this year, with constant news out of the US about Trump’s day to day activities, concerns over affordability all airing during the summer break, journalist articles peppering the papers daily and oversupply concerns for high density apartments, it won’t be surprising to see some buyers standing back to see how the new year starts.

We will be assessing suitable properties immediately once they are shortlisted and moving swiftly before auction where opportunity presents itself. Being prepared to walk away at the critical level is more important than ever, and remaining assured that buying conditions will ease somewhat when more stock comes on towards the end of Feb/early March is our approach.

Wishing everyone an exciting and rewarding start to the auction market of 2017.

A special thank you to Pete Coulson for looking after our clients’ pre-settlement inspections while Amy, Ren and I recharged for some R&R.

Cruising the Mekong in beautiful Laos on a long boat  with my family was memorable, peaceful and oh-so-needed!