This report details a continuation of the very positive and encouraging real estate activity we have been experiencing, particularly during recent weeks.
The 14 October 2019 auction portfolio was an exciting event for both our vendors and buyers, with a considerably favourable ‘under the hammer’ clearance. The properties in this portfolio came from Pakuranga, Sunnyhills, Howick, Highland Park, Shamrock Park, Shelly Park, Northpark, Dannemora and Flat Bush. The Headsail room of the Bucklands Beach Yacht Club, the home of Ray White Auctions, again attracted a very pleasing number of people which included those who had registered buying interest, those who had expressed conditional buying interest and those who came along to see what is selling and for what price, to give an idea of what is happening very currently in the real estate market.
The evening started with 42 Cascades Road, Pakuranga which was brought forward from its’ 30 October auction date due to a pre-auction offer which was accepted by our vendors, subject to the property being submitted to auction on the earlier date. It sold ‘under the hammer’ after a $930,000 pre-auction offer opening and ten bids, for $995,000.
Eight properties sold ‘under the hammer’ from a ten property portfolio. So, after three weeks of marketing, very positive results for both our vendors and also buyers, who had the opportunity to secure quality properties.
We continue to work with the identified buying interest for the balance of the portfolio. There are always various reasons why potential buyers cannot meet the terms of an Auction For Sale and Purchase Agreement, which is a totally unconditional agreement. However, we try to work with these potential buyers to attract the best conditional sale for our client vendors.
Our vendor clients are certainly listing quality properties. This gives buyers quality buying options, as well as an opportunity to evaluate the these options with our ability to give prospective buyers direct access to a highly experienced, award winning team of mortgage advisors, who have access to a variety of lending institutions and their very favourable mortgage conditions.
As indicated in our recent reports, the results we are achieving demonstrate a confidence in the current real estate market as well as a confidence in the quality real estate options which we enjoy in our Eastern Beaches area, particularly now, as we move through the remaining ten effective transaction weeks for 2019.
I continue to emphasise that we consider we are achieving extremely good price results for our vendor clients within a much defined marketing period, acknowledging that our challenge always is to meet vendor price expectations with buyer price expectations. As with all sales, there needs to be a ‘win/ win’ on both sides – vendors need to be satisfied that the price achieved is the best the market for that item will allow and, buyers need to be satisfied that they have achieved ‘buyer value’.
As a foot note, I keep an eye on Australian trends through reports published by Williams Media, which this week reported: ‘Higher auction volumes see preliminary clearance rates bounce back. A much higher number of houses going to auction saw a busy week for real estate agents. There were 2,017 homes taken to auction across the combined capital cities this week, up from 1,324 over the previous week.
CoreLogic’s Market Analyst Kevin Brogan said outside influences such as public holidays and AFL and NRL grand finals did not have the influence they have had over the past weeks.
“Last week Sydney had 317 houses go to auction and this week it was 729,” Mr Brogan told Williams Media.
There was no specific comment from Melbourne, however, Justin Nickerson of Apollo Auctions said South East Queensland had a slight slowdown for the week. “The bidder activity was noticeably slowed, with the active bidding percentage also suffering,” said Mr Nickerson.
“The deluge on Saturday also affected crowd sizes, with neighbours understandably staying dry inside.”’
Auction Services Manager