15 May 2013
Sparks in the market The Reserve Bank’s decision to cut interest rates by another 25 basis points to the record low of 2.75 per cent is more good news for the property market. Better yet, the big banks have passed the savings on to some extent to their customers. The rate cut will fuel even more activity by both owner-occupiers and investors who have already been highly active at auction. With the clearance rate from last weekend hitting 72 per cent from more than 650 auctions, the market continues to build, with many pockets recording clearance rates that are much higher than the Melbourne average. We’re seeing sparks in the market across a range of property types, locations and price ranges. In these instances, auctions have been characterised by strong competitive bidding well beyond reserve prices. For example, our auction of a family home in Richardson Street, Albert Park recently was expected to fetch a price in the vicinity of $2 million but fierce competition between four bidders pushed the sale price to $2.7 million – an incredible result, particularly when you consider the most recent comparable sale in March of this year achieved only $1.8 million. Naturally, a great result like this one requires a great sales campaign that has been tailored to the specific needs of your property. It requires precision marketing that targets serious buyers and delivers them to your open for inspections and ultimately to your auction. Each of our offices has deep experience and insight into local markets that we use to build strategic and highly effective campaigns. Call us to hear how we can put our market intelligence to work for your sales campaign today. Greg Hocking