PROPERTY MARKET REPORT QUARTER 3 2019
MARKET REPORT Victoria’s housing market is bouncing back strongly, with September quarter results confirming what the Noel Jones team are experiencing first hand on a daily basis: strong buyer inquiry, enthusiasm literally on both sides of the fence, prices surging, higher sales numbers and, particularly in Noel Jones’ case, excellent auction results. While some suburbs enjoyed significant price growth over the quarter, including Balwyn, Wantirna and Camberwell whose house prices grew by 22.3%, 16.3% and 16.1% respectively, the overall Melbourne median house price increased by 4.5% to $830,000, the highest quarterly result since March 2017. Unit prices also gained solid ground, attracting 3.9% growth to take the median unit price to a comfortable $613,500. It was also very encouraging to see seven of the soughtafter suburbs with a resident Noel Jones office attract excellent price growth (Table 1), while some neighbouring suburbs’ prices literally skyrocketed (Table 3). In particular, Hawthorn East and Box Hill South’s median price soared by 46.4% and 41.8% respectively for the quarter, while Ashburton and Surrey Hills also enjoyed significant price increases. With the wider municipalities across the eastern suburbs also reflecting positive growth for the quarter (Table 2), and in particular Stonnington, Whitehorse, Boroondara and Knox, annual growth figures are a reminder that the market is in the midst of a recovery.
Table 1
Local Median House Prices by Suburb
Suburb
Median House Price
Quarterly Change
Balwyn
$2,450,000
22.3%
Blackburn
$1,300,000
-5.9%
Box Hill
$1,693,500
7.2%
Camberwell
$2,210,000
16.1%
Croydon
$725,000
6.6%
Doncaster
$1,277,500
14.1%
Ringwood
$865,500
13.5%
Wantirna
$955,500
16.3%
Table 2
Q3 2019
Local Municipal Trends
Municipalities
Annual Change
Quarterly Change
Boroondara
6.4%
14.4%
Knox
-2.8%
11.2%
Manningham
-0.8%
11.2%
Maroondah
0.8%
9.8%
Monash
-4.2%
15.7%
Stonnington
1.7%
8.5%
Whitehorse
-2.5%
16.4%
Yarra Ranges
3.2%
4.6%
The signs of recovery, however, are indeed very strong. Amidst several factors contributing to the upswing, REIV President Leah Calnan cites warmer weather, interest rate reductions, and the easing of lending criteria as major contributors. Michael Hill, our Senior Property Consultant at Wantirna, agrees that easier access to finance had a massive impact, with average numbers at opens spiking from 5 to 30 in the last three months. “We saw a rapidly changing market,” adds Michael. “From a very quiet first half of 2019, buyers were suddenly back in force in July and have been consistently flowing back since. With any pre-election uncertainty over and banks lending money again, confidence has returned to the market.” He also suggests vendors should list their property quickly given current stability, while buyers are advised to bid to their maximum at auction and bid confidently to avoid missing out. With finance flowing and banks lending, the market also suddenly saw a range of cultural groups, both local and overseas, return to the market, according to David Fileccia, Director of the Balwyn office.
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.
the quarter. Graph 1
Auction Clearance Rates for 2019 Q3
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.” “Land prices,” he adds, “are also a barometer of how the market is tracking. Once they start increasing, housing follows suit. With a massive undersupply of properties to meet demand, and several interest rate cuts facilitating both buying and re-buying post sale, now is the time for vendors who’d been sitting it out to invest in improving and marketing their property strongly, or simply selling and upgrading, while maximising returns at the other end.” 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%
Did You Know? Noel Jones’ auction clearance rates frequently surpass the wider industry average reported by the REIV. In fact, the team achieved an 83% clearance rate (Graph 1) for the September quarter, compared to the REIV’s 76% for the same period. While Noel Jones almost consistently exceeds the average week after week, they also achieved a 100% auction clearance rate on several occasions throughout
Rental Market Report The eastern suburb’s rental market has also been strong, according to Jacqui Lacey, Head of Property Management at Noel Jones Camberwell, with high turnouts at opens allowing the team to offer landlords a choice of suitable tenants. At the same time, a handful of tenants have given notice to vacate, likely due to buying property amidst competitive interest rates. Vacancies are tight, with the team consistently maintaining a lower than average vacancy rate for the area, and an attractive 1% vacancy rate compared to wider Melbourne’s 1.8% for the September quarter. Jacqui attributes this to high quality professional photography, multiple open for inspection opportunities, including up until 6.30pm mid-week during daylight savings, and an experienced team that goes well beyond securing tenants and looking after properties. In seeking a suitable management agency, suggests Jacqui, the first question any landlord should ask is, ‘How experienced is your team?’
Data sourced from reiv.com.au and domain.com.au
BOROONDARA
Median Price September 2019 House: $ 2,010,000 Unit: $ 746,750 Change in median house price June Quarter to Sept. Quarter
9.7%
34 Mount Ida Avenue, Hawthorn East Sold for $ 2,425,000 3 2
1
23 Saturn Street, Balwyn North Sold for $ 1,478,500 4 2
2
Change in median unit price June Quarter to Sept. Quarter
8.7% MEDIAN PRICE BY SUBURB SUBURB
HOUSE
UNIT
Ashburton
$ 1,788,888
-
Balwyn
$ 2,450,000
$ 813,000
Balwyn North
$ 1,725,000
$ 1,237,000
Camberwell
$ 2,210,000
$ 860,000
Canterbury
-
$ 864,500
Deepdene
-
-
Glen Iris
$ 2,075,000
$ 615,000
Hawthorn
$ 1,905,000
$ 585,250
Hawthorn East
$ 2,475,000
$ 580,000
Kew
$ 2,160,800
$ 789,500
Kew East
$ 1,858,000
-
Surrey Hills
$ 1,999,000
$ 755,000
July - September 2019 Quarter
88 Durham Road, Surrey Hills Sold for $ 2,370,000 4
2
3
KNOX
Median Price September 2019
House: $ 805,250 Unit: $ 601,000 Change in median house price June Quarter to Sept. Quarter
7.5%
Change in median unit price June Quarter to Sept. Quarter
22 Haygarth Court, Wantirna South Sold for $ 1,200,000 5 3
5
35 Olive Grove, Boronia Sold for $ 890,000
1
13.8% MEDIAN PRICE BY SUBURB SUBURB
HOUSE
UNIT
Bayswater
$ 732,500
$ 585,444
Boronia
$ 702,000
$ 557,000
Ferntree Gully
$ 722,000
-
Knoxfield
$ 750,000
-
Lysterfield (part)
$ 937,400
-
Rowville
$ 860,000
$ 636,500
Scoresby
$ 783,500
-
The Basin
-
-
Upper Ferntree Gully
$ 643,500
-
Wantirna
$ 955,500
-
Wantirna South
$ 1,031,000
$ 780,000
July - September 2019 Quarter
3
2
85 Mowbray Drive, Wantirna South Sold for $ 960,000 3 2
3
MANNINGHAM Manningham
Median Price September 2019 House: $ 1,205,500 Unit: $ 765,500 Change in median house price June Quarter to Sept. Quarter
6.4%
Change in median unit price June Quarter to Sept. Quarter
4 Chapel Court, Doncaster Sold for $ 1,410,000 4
3
2
4 Murphy Road, Doncaster East Sold for $ 1,102,000 3 1
1
-0.6% MEDIAN PRICE BY SUBURB SUBURB
HOUSE
UNIT
Bulleen
$ 1,117,000
$ 802,000
Doncaster
$ 1,277,500
$ 597,000
Doncaster East
$ 1,180,000
$ 920,000
Donvale
$ 1,350,500
$ 781,000
Nunawading
$ 899,000
$ 694,000
Park Orchards
$ 1,425,000
-
Ringwood Nth (part) $ 883,000
-
Templestowe
$ 1,375,000
$ 706,000
Templestowe Lower $ 1,095,000
$ 919,000
Warrandyte
$ 1,060,000 -
Warrandyte South
-
-
Wonga Park (part)
$ 1,215,000
-
July - September 2019 Quarter
1/1 McLeod Street, Doncaster Sold for $ 795,000 4
2
1
MAROONDAH Maroondah
Median Price September 2019 House: $ 810,000 Unit: $ 605,000 Change in median house price June Quarter to Sept. Quarter
8.3%
Change in median unit price June Quarter to Sept. Quarter
10 Hygeia Parade, Ringwood North Sold for $1,276,000 4 2
5
5.2% MEDIAN PRICE BY SUBURB SUBURB
HOUSE
UNIT
Bayswater North
$ 746,250
$ 464,000
Croydon
$ 725,000
$ 542,500
Croydon Hills
$ 803,000
-
Croydon North
$ 815,250
-
Croydon South
$ 722,000
-
Heathmont
$ 985,000
$ 650,000
Kilsyth (part)
$ 641,000
$ 612,500
Kilsyth South
-
-
Park Orchards (part) -
-
Ringwood
$ 865,500
$ 533,000
Ringwood East
$ 756,750
$ 685,000
Ringwood Nth (part) $ 883,000
-
Vermont (part)
$ 995,500
-
Warranwood
$ 996,000
-
Wonga Park (part)
$ 1,215,000
-
July - September 2019 Quarter
14 Walmer Street, Ringwood Sold for $ 1,111,000 4
2
54 Bemboka Road, Warranwood Sold for $ 1,050,000 4 2
2
2
WHITEHORSE
Median Price September 2019 House: $ 1,150,000 Unit: $ 752,500 Change in median house price June Quarter to Sept. Quarter
12.2%
Change in median unit price June Quarter to Sept. Quarter
33 Devon Street, Box Hill South Sold for $ 1,189,000 3 1
2
5.1% MEDIAN PRICE BY SUBURB SUBURB
HOUSE
UNIT
Balwyn North (part)
$ 1,725,000
-
Blackburn
$ 1,300,000 $ 696,000
Blackburn North
$ 993,000
-
Blackburn South
$ 1,063,000
-
Box Hill
$ 1,693,500
$ 725,000
Box Hill North
$ 1,201,000
$ 891,000
Box Hill South
$ 1,292,888
$ 775,000
Burwood (part)
$ 1,191,000
$ 934,000
Burwood East
$ 1,103,000
-
Forest Hill
$ 927,250
$ 887,500
Mitcham
$ 942,000
$ 735,000
Mont Albert
$ 1,842,500
$ 627,500
Mont Albert North
-
$ 785,000
Nunawading (part)
$ 899,000
$ 694,000
Surrey Hills (part)
$ 1,999,000
$ 755,000
Vermont South
$ 1,176,000
-
July - September 2019 Quarter
7 Basingstoke Road, Mitcham Sold for $ 925,000 3
2 Hartigan Street, Blackburn Sold for $ 1,530,000 3
1
1
2
2
Character clinker in high demand Suburb Box Hill South Location 33 Devon Street Features 3 bedrooms 1 bathroom 2 car spaces Sold for $ 1,189,000 Office Noel Jones Box Hill Agents Ted Shackleton Angela Athanasiadis
The sale of 33 Devon Street, Box Hill South by Noel Jones Box Hill was a highlight result for the third quarter of 2019. The property located in a highly desirable family neighbourhood, enjoys a tree lined street and leafy surrounds. This combined with it’s location just moments from Box Hill’s vibrant restaurant, shopping and entertainment precinct, and close proximity to an array of local public transport options had great appeal. The property was well received by purchaser’s and proved very popular having over 160 inspections. The quote range was $900,000- $990,000 with the expectation to sell in the upper range. The auction began vigorously with Ted declaring the property on the market at $1,040,000. 8 bidders drove the price up and the property was sold for $1,189,000 the Vendors were delighted having set the reserve on the day of $990,000. The purchasers are a young couple from Melbourne’s outer east and our delighted vendors are now looking forward to a sea change.
About Noel Jones
Established 1977
8 office locations
140+ team members
1 major charity partner
Over $300,000 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
Camberwell 883 Toorak Road +61 3 9809 2000
Ringwood 265 Maroondah Hwy +61 3 9879 4422
Box Hill 532 Station Street +61 3 9899 6466
Croydon 38 McAdam Square +61 3 9879 4422
Wantirna 10/322 Mountain Hwy +61 3 8720 6333
Blackburn 67-69 Railway Road +61 3 9877 1855
Doncaster 702 Doncaster Road +61 3 9848 7888
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.