Property Market Update - David Smith - Edition 1, 2021 - Boroondara

MARKET UPDATE REPORT

SOLD - 12 THE AVENUE, SURREY HILLS

B O R O O N DA R A | A P R I L 2 02 1

David Smith M 0402 361 680 P 8862 4935 E david.smith@marshallwhite.com.au

“With unanticipated levels of both supply and demand, the property market has certainly exceeded all expectations in the first quarter of 2021.”

With unanticipated levels of both supply and demand, the property market has certainly exceeded all expectations in the first quarter of 2021. In encouraging signs for vendors, as we head into the second quarter, the market shows no signs of abating.

The end of 2020 was unquestionably positive in the property market, with green shoots of a revival beginning to show. However, it is the rapid increase of buyers flooding the market that confirms Melbourne is well on track for double digit growth in 2021.

Days on market before sale for each property have reduced dramatically and the sheer level of demand for homes is seeing consistently high auction clearance rates.

According to CoreLogic, Melbourne’s auction clearance rate was hovering around the 80% mark in Q1; at the same time last year it was closer to 60%. An increasing number of properties are not reaching the scheduled auction dates, with enthusiastic buyers making offers too good for vendors to refuse. With the predicted decrease in new property entering the market over the coming months, the already buoyant market will continue to remain competitive for purchasers.

In particular, the prestige market continues to perform very well, with our Armadale office recording four sales in excess of $20 million each in recent weeks – three of those properties selling within just days of being listed. We continue to see high demand for high end properties, with purchasers willing to go above and beyond for the right property.

The outlook for the coming months is overwhelmingly optimistic.

With interest rates at record lows, improving economic conditions, high levels of savings, attractive government incentives and low property supply levels all combine to ensure that the Melbourne housing market is in the midst of a boom.

From all of us at Marshall White, we hope you and your loved ones are keeping safe and healthy.

M A R K E T U P D AT E R E P O R T

From your Local Area Specialist LAST QUARTER IN REVIEW

While we were expecting the year to begin strongly after the property market’s remarkable resurgence in the final quarter of 2020, nobody could foresee the record level of transactions we have seen during the first three months of 2021.

Rising confidence since the vaccine roll out has only added fuel to the unprecedented level of demand. Prices are rising, auction clearance rates are consistently high and days on the market have fallen to new lows. In the Boroondara area we are seeing enormous demand for quality family homes, single level properties for down-sizers as well as entry level properties for first homebuyers and more recently investors. The lockdown period highlighted the advantage of a location with close proximity to shops, cafes and parks as well as leafy streets to roam around. With demand well and truly outstripping supply in this soughtafter location, there has never been a better time for potential vendors.

Sincerely,

David

Culture & Lifestyle J U L I E T T E C O F F E E & B R E A D , H AW T H O R N E A S T Dine-in cafe service sure didn't get much of a run in 2020. But while those doors were closed, Melbourne-born Only Hospitality Group came up with a winning formula for its next new venture — a COVID-friendly cafe concept heroing takeaway baked goods, loaves of fresh bread and coffee to-go. And so, Juliette Coffee & Bread was born. New sibling to the group's many other cafe hits (including Fitzroy's Bentwood, Glovers Station in Elsternwick and Camberwell's My Other Brother), Juliette opened its doors in October, fast becoming a neighbourhood favourite for it's lockdown-friendly grab-and-go offering. Here, behind a cheery salmon-hued facade, you'll find a simple, yet considered lineup of house-made sourdough breads, pastries and baguette sandwiches, available to takeaway or to enjoy at one of the curbside tables.

Feature Property 1 2 T H E AV E N U E , S U R R E Y H I L L S

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5

B

2

C

2

SOLD

Without a doubt, one of the most incredible transformations of an original 1906 Edwardian seen for many years. In collaboration with an award-winning architect and local landscape designer, "Deanesholme" has been renovated and upgraded to a premium luxury complete with the added advantage of two home office options for remote working.

The property is an extraordinary indoor/outdoor entertainer, catering to the most fastidious family. Spanning some 1,241m2 with upper views to Macedon and Kinglake, with city lights north and northeast. This sensational 5 bedroom/2.5 bathroom home delivers innovative yet premium design solutions, staged on grand scales of space, luxury and modern but warm natural materials and style. Journey through a picture-perfect Edwardian façade and indulge yourself in the contemporary pleasures of this unique home where an array of flexible living and entertaining spaces is met by a stunning setting for al fresco dining, night-lit designer pool, and luxuriant magazine-worthy garden oasis. In a leafy enclave only 5 minutes walk to the train and Surrey Hills Village, you are spolit for selection, with the new Coles Local, cafes, specialist boutiques and restaurants and wine bars.

Marshall White Sales Statistics

Average sale price $1m+ range

Statement of Information Downloads

JANUARY 2021 - MARCH 2021 Houses

marshallwhite.com.au

$2,723,175

97,499

Number of sales above reserve

Total number of sales $1m+ range

increasing, it is still not at a level that will satisfy the number of

Average

Sales

buyers in the marketplace.

72%

437

Traditionally the month of January is a quiet time in real estate with the majority of Melburnians enjoying a summer break.

This year however the number of transactions in both January and February established new records. Properties were selling at zoom and on-site auctions, with expressions of interest and increasingly prior to auction. The average days on market has plummeted as a result and prices have consistently risen to pre-Covid levels. Two $20 million plus properties were sold in February and March after just one week on the market.

Fundamentally it is a case of supply and demand. Demand has been exceptionally strong and while supply is gradually

M A R K E T U P D AT E R E P O R T

Outstanding Sale Results A S E L E CT I O N O F R E C E N T S A L E S

SOLD

SOLD

SOLD

27 Boisdale Street, Surrey Hills

7 Suffolk Road, Surrey Hills

10a Tyrone Street, Camberwell

A

3

B

1

C

2

A

5

B

4

C

2

A

4

B

3

C

4

Sold Before Auction

Sold by Auction

Sold by Auction

SOLD

SOLD

SOLD

15 Hawthorn Glen, Hawthorn

27 Fletcher Street, Hawthorn East

21 Briggs Street, Mont Albert North

A

5

B

3

C

2

A

3

B

2

C

2

A

3

B

1

C

1

Sold by Auction

Sold by Auction

Sold Before Auction

SOLD

SOLD

SOLD

40 Barrington Avenue, Kew

22 Durham Road, Surrey Hills

278 Mont Albert Road, Surrey Hills

A

5

B

3

Sold by EOI

C

2

A

4

B

2

C

Sold by Private Sale

2

A

5

B

3

C

Sold by Private Sale

2