Whilst market conditions have changed in the last six months, demand has been underpinned by lower stock levels and historically low unemployment.
Buyers and sellers have been adjusting to a market which has seen multiple interest rate rises coupled with high than average inflation. Despite these factors, clearance rates have remained steady and well within the normal range with most weeks achieving mid-60 percent or higher.
The Melbourne median house price is now $993,000 down from an all time high of $1,133,000 in Q4 of 2021. The Banyule median house price* is currently $1,050,000 and $720,000 for units.
Buyers need to do their homework and calculate how much they should borrow factoring in further interest rate rises in 2023. Borrowers should ask themselves the question; if interest rates were 3% higher, could I afford my repayments? Over the last few years, we’ve become accustomed to historically low interest rates when the reality is rate rises and cuts are always par for the course for any mortgage holder over a number of years.
Whist affordability has improved in some aspects of the market, there is a particular section which continues to buck the down-ward trend – newly built or renovated homes. As mentioned in our previous update, these continue to sell with strong competition due to the rising cost of building and ongoing labour shortages.
In Banyule, average days on market is at 25 days over the last 12 months.
Notable sales include
166 Wingrove Street, Fairfield
Triple fronted weatherboard home of big proportions sold prior to auction for $2,480,000
42 Winston Road, Viewbank
A large 5-bedroom home in the Viewbank College zone also sold prior to auction after only eight days on market for $1,250,000.
7/57 Locksley Road, Ivanhoe
A generous sized 3.5 bedroom town residence in the heart of Ivanhoe sold for $1,725,000.
In a changing market it is always vital to seek out the best advice. Choosing an agent who understand the buyer behaviours and know what they are looking for is advantageous. Setting the correct price range for a property coupled with selecting an agent with superior negotiation skills is now paramount for any vendor.
Miles Agents have been a vital source of local knowledge in Banyule for decades and are renowned for their excellent communication, local market knowledge and their willingness to invest high levels of energy in all their activities. This in turn has translated to many buyers or sellers in achieving, and in many cases, exceeding their property goals.
Upsizing or downsizing, first home buyers or investors, please get in touch to discuss all your property needs or request a free appraisal.
From all of us at Miles, we wish you all the best for the festive season and a safe, healthy new year.
Source: propertydata.com.au
