It’s fair to say that the Victorian property market has shown some signs of taking a slight pause to ‘catch its breath’ in July. Overall auction numbers have been down on the same period last year, but we do need to keep in mind that a tight Federal election impacted on market confidence during the early part of the month.
Whilst availability of property for sale has continued to be an issue for buyers, this has been a huge advantage for vendors. Those who made the decision to sell over Winter, have generally benefitted, with some fantastic prices being achieved as a result of the lack of choice in the marketplace.
The good news for buyers is that we are starting to see signs of more activity from prospective sellers, with a growing number of homeowners calling us to discuss planning their sales campaigns for the coming Spring. This planning process is very important, as experienced market watchers will know that the best Spring sales results are often achieved early in the selling season.
It is important to understand that there are actually two separate “Spring markets”. The first of these tends to make its impact either side of the AFL Grand Final, and is the period when buyer numbers are at their highest, and stock levels are still tight. As a result, increased competition between buyers tends to push sale prices up.
In contrast, the later you leave it, the more likely you are to be affected by increased competition between sellers as more property becomes available. If you look back at what happened to our market during the last two months of 2015, you’ll soon get the picture.
Keep in mind that the time to start setting up your campaign for Spring is right now. If you want to have your property on the market when conditions for sellers are at their best, (and then be ideally placed to make the most of buying opportunities as a cashed up buyer), then your window of opportunity is limited. So why not give us a call this week to get the wheels in motion?
One other issue that seems to have flown under the radar lately involves the recent reshuffle of the Ministerial portfolios in the Victorian Government. You may remember all the publicity regarding the proposed changes to the laws governing how property prices are quoted by real estate agents?
Well, since that much-heralded announcement, there has been silence on the introduction of those laws. So it was interesting to see that Jane Garrett MP, who was responsible for oversight of the real estate industry as Minister for Consumer Affairs, was replaced in that portfolio by a new Minister in May. We’ll keep you updated on any new announcements in this area as they come to hand.