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PROPERTY MARKET REPORT QUARTER 2 2019


MARKET REPORT At Noel Jones, we’re very pleased to report a post-election return of confidence to the housing market over the June quarter, with most markets attracting higher levels of buyer enquiry and many achieving the highest auction clearance rates seen for some 18 months. Amidst successive interest rate cuts, the relaxation of lending requirements, the announcement of the First Home Loan Deposit Scheme, a shortage of stock, and the postelection sigh of relief around the proposed axing of negative gearing, buyers are now back in the market. They’re also much more motivated to act – and to act quickly, especially with prices seemingly entering the upward swing of the cycle, with many suburbs in the Inner East, as per Table 1, on the rapid increase.

Q2 2019

If our Eastern suburbs’ results are anything to go by, it’s certainly an exciting and dynamic time in the property market, with prices ranging from Balwyn’s market correction of -16.1% for the quarter to Blackburn’s exceptional price growth of 25.8%. While six of our suburbs with a resident Noel Jones office attracted price growth, including an increase of 7.9% and 9.4% for Box Hill and Wantirna respectively, others may well be in rapid transition. Amidst suburb variations, however, it’s important to note that median house prices across the inner east are certainly increasing, with all of the municipalities in our area attracting solid growth over the past 12 months (as per Table 2). Table 2

Local Municipal Trends

While Melbourne’s median house price softened by 1.1% to $794,000 in the quarter, it’s a marked improvement on the 2.0% drop in the first quarter of 2019 – and a big leap forward from the 2.5% drop in December 2018. It’s also very encouraging to note that the median unit price for the quarter also increased by 0.6% to $586,500, an encouraging sign perhaps of things to come.

Municipalities

Quarterly Change

Annual Change

Boroondara

6.4%

14.4%

Knox

-2.8%

11.2%

Manningham

-0.8%

11.2%

Maroondah

0.8%

9.8%

Between the June quarter results and the continued improvement agents are reporting out in the field as the end of winter nears, many industry experts, including REIA President Mr Adrian Kelly, suggest we’ve now seen the bottom of the cycle.

Monash

-4.2%

15.7%

Stonnington

1.7%

8.5%

Whitehorse

-2.5%

16.4%

Yarra Ranges

3.2%

4.6%

Table 1

Local Median House Prices by Suburb

Suburb

Median House Price

Quarterly Change

Balwyn

$ 1,950,000

-16.1%

Blackburn

$ 1,057,500

25.8%

Box Hill

$ 1,450,000

7.9%

Camberwell

$ 1,820,000

4.4%

Croydon

$ 710,000

-7.2%

Doncaster

$ 1,155,000

-0.2%

Glen Iris

$ 1,875,000

-1.3%

Mitcham

$ 841,000

5.5%

Ringwood

$ 751,344

0.5%

Wantirna

$ 760,000

9.4%

While the City of Whitehorse led the charge with Monash and Boroondara close forerunners, unit prices also strengthened across the municipalities, while a large number of individual suburbs (as per Table 3) also enjoyed notable increases in property values. Paul Leydin, auctioneer and partner at Noel Jones Blackburn, is seeing a buoyant market between avid buyer activity and competitive buying and bidding. “With stock levels low, buyers should have their finances in order and be ready to act quickly and confidently, while vendors,” he adds, “should act now to get the jump on the busy spring market, thereby minimising competition with others.”


Table 3 Other Well-Performing Suburbs Suburb

Median House Price

Quarterly Change

Burwood

$ 1,060,000

6.6%

Forest Hill

$ 887,500

6.4%

Kew

$ 1,936,250

6.1%

Box Hill North

$ 1,124,000

12.2%

Mont Albert North

$ 1,405,000

17.0%

Surrey Hills

$ 1,819,000

15.1%

Templestowe

$ 1,350,000

12.5%

Wonga Park

$ 1,402,500

26.2%

Over in Balwyn, where the wider municipality of Boroondara attracted good growth across both the quarter and year, “buyers are returning in droves,” reports Director Tim Penhalluriack. Also a reputed auctioneer, Tim adds that, “as restrictions ease and confidence returns to the market, together with dropping interest rates, we’re seeing competition at auction that we haven’t seen since 2015”.

Rental Market Report Property investment news is also excellent, with Rita Zoumboulis, Licensed Estate Agent and Head of Property Management Balwyn reporting a strong quarter, with a reduction in vacancy times and many properties leased before they’re vacated. With the team busy managing 1,300 to 1,400 inquiries for the quarter, and expertly matching properties with the most suitable tenants, the office averaged a vacancy rate of just over 1%, significantly less than the REIV’s reported vacancy rate of 2.2% across wider metropolitan Melbourne. Between tight vacancy rates and higher demand in the mid to upper-end, rents are also generally on the steady increase and rental returns attractive. Anyone wishing to appoint a team focussed on long term capital growth is welcome to contact their local Noel Jones office. We will also happily manage any transfer of management on your behalf.

Did You Know? The Noel Jones team surpassed the average auction clearance rate for 10 out of 12 weeks in the June quarter, with three weeks of a 100% clearance rate well-exceeding the REIV’s 60%, 63% and 73% for the same periods.

Auction Clearance Rates for 2019 Quarter 2 - Noel Jones vs REIV

120% 100% 80% 60% 40% 20% 0%

Noel Jones

REIV

Data sourced from reiv.com.au and domain.com.au


BOROONDARA

Median Price June 2019

House: $ 1,725,000 Unit: $ 713,000 Change in median house price June 2018 to June 2019

14.4%

5 Yongala Street, Balwyn Sold for $ 5,180,000 5

6

2

1 Charles Street, Glen Iris Sold for $ 2,005,000

2

4

Change in median unit price June 2018 to June 2019

2.9% MEDIAN PRICE BY SUBURB SUBURB

HOUSE

UNIT

Ashburton

$ 1,410,000

-

Balwyn

$ 1,950,000

$ 875,000

Balwyn North

$ 1,500,000

-

Camberwell

$ 1,900,000

$ 818,000

Canterbury

$ 2,435,000

$ 1,580,000

Deepdene

-

-

Glen Iris

$ 1,850,000

$ 627,500

Hawthorn

$ 1,835,000

$ 527,800

Hawthorn East

$ 1,660,000

$ 581,250

Kew

$ 1,936,250

$ 636,000

Kew East

$ 1,440000

$ 957,500

Surrey Hills

$ 1,819,000

$ 750,000

April - June 2019 Quarter

4

5 Vicars Street, Balwyn North Sold for $ 1,500,000 4

2

5


KNOX

Median Price June 2019

House: $ 730,000 Unit: $ 522,500 Change in median house price June 2018 to June 2019

11.2%

Change in median unit price June 2018 to June 2019

6 Waldheim Road, Bayswater Sold for $ 665,000 3

1

3

7 O’Connor Road, Knoxfield Sold for $ 640,000 3

1

2

6.5% MEDIAN PRICE BY SUBURB SUBURB

HOUSE

UNIT

Bayswater

$ 665,000

$ 485,000

Boronia

$ 613,000

$ 512,500

Ferntree Gully

$ 672,000

$ 484,500

Knoxfield

$ 725,000

$ 666,944

Lysterfield (part)

-

-

Rowville

$ 784,000

$ 517,000

Scoresby

-

-

The Basin

-

-

Upper Ferntree Gully

$ 737,500

-

Wantirna

$ 831,800

-

Wantirna South

$ 915,000

$ 517,500

April - June 2019 Quarter

13 Tanderra Crescent, Wantirna Sold for $ 879,000 4

2

1


MANNINGHAM Manningham

Median Price June 2019

House: $ 1,139,000 Unit: $ 757,500 Change in median house price June 2018 to June 2019

11.2%

Change in median unit price June 2018 to June 2019

13 Crouch Court, Doncaster Sold for $ 1,334,000 4

2

2

4/4-6 William Street, Donvale Sold for $ 728,000 3

2

2

1/2 Haros Avenue, Nunawading Sold for $ 800,269 3

2

2.1% MEDIAN PRICE BY SUBURB SUBURB

HOUSE

UNIT

Bulleen

$ 965,000

-

Doncaster

$ 1,153,250

$ 707,500

Doncaster East

$ 1,134,000

$ 757,950

Donvale

$ 1,220,000

$ 780,000

Nunawading

$ 870,000

$ 536,000

Park Orchards

$ 1,430,000 -

Ringwood Nth (part) $ 765,000

-

Templestowe

$ 757,500

$ 1,350,000

Templestowe Lower $ 990,000

$ 758,750

Warrandyte

$ 1,120,000

-

Warrandyte South

-

-

Wonga Park (part)

$ 1,402,500

-

April - June 2019 Quarter

1


MAROONDAH Maroondah

Median Price June 2019

House: $ 745,000 Unit: $ 575,000 Change in median house price June 2018 to June 2019

9.8%

Change in median unit priceJune 2018 to June 2019

2 Billabong Close, Croydon Hills Sold for $ 905,000 4 2

3

32 Bedford Road, Ringwood Sold for $ 900,500 3

1

2.6% MEDIAN PRICE BY SUBURB SUBURB

HOUSE

UNIT

Bayswater North

$ 650,000

-

Croydon

$ 659,000

$ 585,000

Croydon Hills

$ 785,000

-

Croydon North

$ 750,000

$ 590,000

Croydon South

$ 687,500

-

Heathmont

$ 817,500

-

Kilsyth (part)

$ 634,000

$ 470,000

Kilsyth South

-

-

Park Orchards (part) -

-

Ringwood

$ 755,000

$ 551,500

Ringwood East

$ 780,500

$ 548,250

Ringwood Nth (part) $ 765,000

-

Vermont (part)

$ 837,000

-

Warranwood

$ 917,500

-

Wonga Park (part)

$ 1,402,500

-

April - June 2019 Quarter

2

2 Henry Smith Place, Croydon Hills Sold for $ 843,000 4 2

2


WHITEHORSE

Median Price June 2019

House: $ 1,025,000 Unit: $ 715,500 Change in median house price June 2018 to June 2019 1 Belgravia Avenue, Mont Albert North Sold for $ 1,596,000 4 2

16.4%

Change in median unit price June 2018 to June 2019

3.4% MEDIAN PRICE BY SUBURB SUBURB

HOUSE

Balwyn North (part)

$ 1,500,000 -

UNIT

Blackburn

$ 1,330,750

$ 701,750

Blackburn North

$ 972,750

$ 730,000

Blackburn South

$ 956,500

-

Box Hill

$ 1,565,000

$ 380,000

Box Hill North

$ 1,124,000

$ 890,500

Box Hill South

$ 924,000

-

Burwood (part)

$ 1,060,000 $ 753,000

Burwood East

$ 977,900

$ 771,000

Forest Hill

$ 887,500

-

Mitcham

$ 887,500

$ 716,500

Mont Albert

$ 1,680,000

-

Mont Albert North

$ 1,405,000 $ 924,000

Nunawading (part)

$ 870,000

$ 536,000

Surrey Hills (part)

$ 1,819,000

$ 750,000

Vermont South

$ 1,025,000

-

April - June 2019 Quarter

2A Howard Street, Mitcham Sold for $ 1,221,000 4

3

28 Crimson Avenue, Blackburn South Sold for $ 1,115,000 3 2

2

2


Anytime. Anywhere. Read the latest articles from Noel Jones online. noeljones.com.au/articles


About Noel Jones

Established 1977

10 office locations

155+ team members

1 major charity partner

Over $296,000 raised for Ovarian Cancer Australia

Multiple community sponsorship agreements

RENT

Community events held each year

774 properties sold (18/19 Financial Year)

4377 rentals managed (18/19 Financial Year)

Office locations Balwyn 289 Whitehorse Road +61 3 9830 1644

Croydon 38 McAdam Square +61 3 9879 4422

Glen Iris 58 High Street +61 3 9885 2444

Box Hill 532 Station Street +61 3 9899 6466

Doncaster 702 Doncaster Road +61 3 9848 7888

Ringwood 265 Maroondah Hwy +61 3 9879 4422

Blackburn 67-69 Railway Road +61 3 9877 1855

Mitcham 560 Mitcham Road +61 3 9837 4444

Wantirna 10/322 Mountain Hwy +61 3 8720 6333

Camberwell 883 Toorak Road +61 3 9809 2000 noeljones.com.au The data shown in this booklet has been sourced from CoreLogic , REIV and Domain and should be used as a guide only.

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