Without wanting to sound the same, the weekend was exactly that!  The good properties sold well and those with some concerns or with high vendors, passed in – some selling later, some still available for buyers to consider.  For the good properties we saw multiple bidders and strong prices, many well above the announced reserve prices.

The REIV reported a clearance rate of 73% from the 708 auctions reported. While interest rates are low, there does seem to be a bit of uncertainty in the market and some inactivity, maybe due to the pending election.  This is a fairly normal.

The market we are in right now is quite a dynamic one.  Many transactions are happening quickly and quietly. Timing is important. As a buyer you shouldn’t necessarily expect the campaign to run as advertised as many properties being bought before auction.

However, it can also be important to determine whether you are the ‘only buyer’.  Some homes are selling before auction because there is one buyer prepared to pay well above the remainder of the market and an auction may not necessarily provide the best forum to extract the full amount from the buyer.  Remember the agent is engaged and paid by the vendor to get the most money for the vendor.

 For details on the auctions we covered on Saturday, CLICK HERE to see our twitter feed.

 Land sales:

 Off Markets:

Some new ones we saw this week:

 Properties we like, scheduled for auction June 4 :

•  32 Hawthorn Grove, Hawthorn – James Tostevin/Hamish Tostevin (Marshall White)
• 5 Gowar Avenue,  Camberwell – Michael & Chris Hingston (Jellis Craig)
• 95 Claremont Avenue, Malvern – Tim & Will Bennison (Jellis Craig)
• 12 Alleyne Avenue, Armadale – Michael Ebeling/Abby Innes (RT Edgar)
• 23 Albert Street, Brighton – Kate Strickland/Gerry Gordon (Marshall White)
• 89 Armstrong Street, Middle Park – Michael Szulc/Geoff Cayzer (Cayzer RE)

Auction Spotlight:

Albert Park, 24 St Vincent Place North (Oliver Bruce, Marshall White), sold $7.805m, 3 bidders

A large crowd closer to 200 than 100 had gathered to this two storey Victorian auction for the first time in around 40 years.  Auctioneer, John Bongiorno, was in his usual good form, quickly starting proceeding on a vendor bid of $6m.  It did appear for a moment that it may have been going to stop there too.  However, upon return from the quick half time break, the first bidder made their move offering $6.2m.  Proceedings moved very quickly from there as two other bidders joined in.  On the market at $7.31m, the three bidders were still comfortably bidding above $7.5million, the property finally selling for $7.805m (over $16,000sqm).

Prahran, 83 Pridham Street, (Andrew James, Hocking Stuart), sold $1.555m

With some strong recent sales in this pocket, there was a real buzz at this auction, with around 80 people gathering in the narrow, pretty street consisting mainly of charming cottages. On offer was a tastefully renovated and extended two bedroom home, with a prized north-facing rear. Auctioneer Andrew James didn’t have to look too far for an opening bid, as this came from the crowd at $1.3m. Quick-fire bidding saw this property  on the market at $1.391m and sell under the hammer for $1.555m –  3 bidders in all putting their hand up. With an unrenovated version in nearby Wrights Terrace selling for $1.303m last weekend and having a south-facing rear, the result here felt about right.

Agent Opinion:“Are strong prices pushing buyers to fringe areas?” 

John Morrisby (Jellis Craig):  “There is and always has been a frustration of not being in a position to purchase a property in your preferred location. Has it been heightened of late due to strong(er) prices ? Yes, but this has been one in the same with the lack of offerings, particularly those of quality & sought positions. As core areas experience price increases this will naturally affect the pricing of the fringe areas on a pro rata basis. The question is, when is ‘the eye’?”