Victoria has notched its biggest autumn on record for auction sales — and the winter market has potential to be unseasonably hot, too.
The 12,267 homes that went under the hammer from March to May generated a record 10,042 sales, according to new figures from the Real Estate Institute of Victoria.
Reservoir recorded more auction transactions than any other Melbourne suburb in the season, with 188 from 246 auctions, with Glen Waverley (160 sales from 195 auctions) and Mt Waverley (148 from 172) close behind.
More than 100 homes also sold under the hammer in Craigieburn, Richmond, Bentleigh East, Cheltenham and Preston.
The bumper 2021 autumn selling season easily eclipsed last year’s Covid-ravaged period, when just 2962 sales were recorded, as well as 2019 and 2018’s figures of 4560 and 8297.
And the month of May alone broke the record for the highest number of auction sales in a month, surpassing 4000 for the first time for a total of 4278 sales from 5271 auctions.
This smashed the six-year old record from May 2015, where 3927 properties sold under the hammer.
TOP 10 SUBURBS WITH THE MOST AUCTION SALES
RESERVOIR, 188 (from a total of 246 auctions)
GLEN WAVERLEY, 160 (195)
MOUNT WAVERLEY, 148 (172)
CRAIGIEBURN, 116 (158)
RICHMOND, 110 (129)
BENTLEIGH EAST, 109 (126)
CHELTENHAM, 105 (112)
PRESTON, 104 (139)
NORTHCOTE, 96 (113)
HAWTHORN, 86 (112)
REIV president Leah Calnan said a surge in buyer appetite, driven by pent-up demand from last year’s extensive lockdowns, government incentives and record-low interest rates, had generated consistently high weekly clearance rates to make 2021 a record season.
“Autumn 2021 also saw the highest clearance rate of 82.5 per cent in autumn since 2007,” she said.
Gladstone Park was Melbourne’s autumn clearance rate king, with 100 per cent of the suburb’s 40 auctions resulting in sales.
The figure was more than 97 per cent in Dingley Village and Eltham, and more than 96 per cent in Ferntree Gully.
The REIV had forecast almost 2000 properties to go to auction over the first two weekends in winter, but said Victoria’s latest coronavirus-driven lockdown would impact the actual number to go ahead.
Ms Calnan predicted the winter auction market’s strength would be impacted by “international borders, interest rates, the end of first-home buyer incentives and the duration of Victoria’s current and fourth lockdown”.
TOP 10 SUBURBS FOR AUCTION CLEARANCE RATES
GLADSTONE PARK, 100 per cent (from a total of 40 auctions)
DINGLEY VILLAGE, 97.2 per cent (36)
ELTHAM, 97.1 per cent (35)
FERNTREE GULLY, 96.4 per cent (56)
FITZROY NORTH, 94.1 per cent (51)
TAYLORS LAKES, 93.9 per cent (33)
CHELTENHAM, 93.8 per cent (112)
COBURG, 93.5 per cent (77)
BLACKBURN SOUTH, 93.5 per cent (46)
WANTIRNA SOUTH, 92.7 per cent (55)
**all figures specific to autumn 2021 and according to figures provided by the REIV
Ray White Craigieburn auctioneer Trish Orrico tipped the market to remain strong “at least for the next six months”, even if the latest shutdown was extended further.
“There are buyers out there wanting to buy,” Ms Orrico said.
“All the lockdown does is get them online looking for properties. The (auction) prices are still great, hitting above expectation, and there are still multiple bidders online.”
She said her agency had been calling as many as eight auctions each Saturday, with seven shifted online last weekend.
Ms Orrico urged homeowners considering auctioning their properties to “not put it off”.
“Don’t be scared of what’s happening around us (with the Covid-19 lockdown),” Ms Orrico said.
“There are plenty of buyers out there that need homes and if you’re looking to sell, it’s definitely a seller’s market. People always need somewhere to live.”
Craigieburn couple Chokku Alagappan and Lakshmi Ramanathan listed their 11 Sedgefield Place home last week, with a June 19 auction date.
The pair had been considering upsizing to a bigger but lower-maintenance home to give their children, Riah Sivakami, five, and Arjun, eight months, more space.
But they said the sizzling market conditions seen so far in 2021 ultimately sealed their decision to go ahead with the sale — even with the then-looming cloud of lockdown.
“We’ve been in this house for three years and now are planning to upsize,” Mr Alagappan said.
“We were planning to rent this property, but with how the market is booming, we thought we would sell.
“The market is really hot and we don’t want to wait.”
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