Greetings from Scoutable and welcome to our March Wrap Up.
I hope you enjoyed the long weekend relaxing with family and friends.
The Easter long weekend brought a reduced number of properties up for auction last week. There were 362 properties listed for auction in Sydney, 148 in Melbourne and 57 in Brisbane, recording clearance rate of 78%, 70%, and 42% respectively. In comparison, the weekend prior saw 1,359 properties listed in Sydney, 2,078 in Melbourne and 194 in Brisbane, recording a clearance rate of 66%, 67%, & 49% respectively.
The low clearance rates are impacting certain areas more than others. The inner city of Sydney and Melbourne are outperforming the greater capital cities. We are seeing some good competition for certain properties, some of which are selling significantly over the quoted price guide. Having said that, many believe it's a much fairer market with buyers and sellers able to engage in healthy negotiation.
In a recent domain article, property analyst and head of SQM Research Louis Christopher explains the recent market downturn as a result of a regulatory "double-whammy" - APRA's crack down on interest-only loans and the federal government clamp on tax deductions and depreciations on investor property related expenses and items.
Damien Cooley of Cooley Auctions has also suggested a lack of investor presence since the regulatory changes and that investors are looking to park their money elsewhere as there's not much short term gain on a two bedroom unit. While this might be the case, we always maintain that the property market is cyclic and we should be focusing on long term holds.
The Reserve Bank of Australia, today at it's April meeting, decided to keep the official cash rate on hold at 1.5% for the twentieth consecutive month. Experts believe that it will not rise until some time next year.
Are you looking to buy or invest? Let us help. We love property and would love to find the perfect one for you.
Till next month,
Kellie Landrey | Principal Buyers Agent
IN THE NEWS
RECORD AUCTION NUMBERS BUT LOWER CLEARANCE RATES
BRISBANE COUPLE $43K PER MONTH WINDFALL
PRESTIGE PROPERTY PRICE GROWTH
PROPERTY OF THE MONTH
18 LISMORE STREET EASTLAKES
The March property of the month can be found in the little known Sydney eastern suburb of Eastlakes. This quiet neighborhood nestled between Rosebery and Kingsford has been on out radar for a while now with the CBD, Sydney Airport, UNSW, Price of Wales Hospital and Maroubra Beach all under 10 kilometres away.
The area is going through gentrification as many of the suburb's traditional Californian bungalows are owned by the Baby Boomer generation who are now downsizing. The area's revival is also linked to the improvement of retail facilities (Eastlakes Shopping Centre under major renovations) and CBD transport links. Eastlakes is catching the eye of young families wishing for more land without comprising access to the conveniences of city living.
18 Lismore Street, is a perfect example of the type of stock available in Eastlakes. Sitting on a 450sqm level block of land this Californian Bungalow just sold for the first time in 48 years for $1,776,000.
The property maintains all it's original charm featuring lead light windows, high ornate ceilings and picture rails. Providing three bedrooms, two bathrooms and parking for at least two cars, it has been kept in great condition and could be comfortably lived in with scope to improve in due course. The abundance of land could allow for a granny flat, swimming pool or substantial veggie garden.
If you'd like to know more about this property or any others, please get in touch.