BCNW Sept 2022 Report

September report.

Our purpose.

To create a place where we can facilitate our people’s growth.

Our values.

Family. Our colleagues are our broader family, assist when needed and when in need.

Mutuality. Respect our colleagues and our clients as you would like to be respected.

Realising potential. Unlock your full potential, encourage and support your colleagues.

Embrace change. Strive for excellence; be open minded and willing to embrace change.

Health and energy. Work towards being well balanced within yourself.

September report.

From our corporate director

Dean O’Brien

Hi Guys, it’s Dean OBrien from OBrien Real Estate with the tenth edition of the monthly property news for 2022 where real estate information is on the house.

Things are getting better for us, that is the truth even though it doesn’t always seem that way or as the media likes to portray it. We live better than ever. The world’s population today is 7.98 billion and 169,000 people are coming out of extreme poverty every single day and it’s been like that for the last 20 years. Wealth per capita in Australia is currently $553,954 according to Australia Bureau of Statistics and household deposits grew by 0.5 percent, households have now accumulated just shy of $312 billion in deposits since the pandemic. For Melbourne Metro declines in the Home Value Index over September eased slightly in comparison to August, this is the second month in a row that we have seen declines ease, although the declines are continuing to trend. Corelogic reported that combined dwellings of houses and units fell 1.1 percent, prices in Melbourne and is now down 5.3 percent year to date. Regional Victoria on the other hand is still in positive home price territory with 7.2 percent growth for the year so far, although September had a 1.1 percent decline like Melbourne Metro.

Looking at the rental market, rents in Metro Melbourne during September has had its slowest growth since December 2021 which is a little surprising considering the low vacancy rates and the increase in migration. However gross yields for investors in units and apartments are now realising a 4.0 percent gross yield which is further evidence of a shift of rental demand back towards higher density living and is a preference we are seeing strongly post covid-19 lockdowns.

That’s all for this month, I’m Dean O’Brien and remember the information provided is of a general nature you should always seek independent legal, financial, taxation or other advice in relation to your unique circumstances.

“Is our market just more normal now?”

SuburbAddress

67BonaVista

1/21Kumala

11LocksleyClose

2/7MyrtleStreet

2/53OzoneRoad

4/1-3ElmhurstRoad

86FairholmeBoulevard

12EdgbastonCircuit

24CanberraAvenue

1KarwinClose 5CoolongAvenue 27FishermansDrive 65AmberCrescent

10PenrithStreet 14CockatooStreet 145SettlersRun

20LimeburnerGrove

18HoneybrookLane

1SutilDrive

2AuraStreet

3/160ClarendonStreet

2ChisholmCourt

33CranbourneDrive

13GlenwoodCourt

5HectorDrive

12ArrowRoad

Bayswater Bayswater

Bayswater Bayswater Bayswater BayswaterNorth Berwick Berwick Berwick Berwick Berwick BlindBight BlindBight Boronia BotanicRidge BotanicRidge BotanicRidge

Clyde ClydeNorth ClydeNorth ClydeNorth Cranbourne Cranbourne Cranbourne Cranbourne CranbourneEast

$835,000 $650,000 $670,000 $732,500 $820,000 $665,000 $1,430,000 $943,000 $1,330,000 $567,000 $648,000 $630,000 $691,000 $885,000 $735,000 $925,000 $1,155,000 $557,500 $700,000 $732,000 $515,000 $600,000 $620,000 $700,000 $785,000 $686,500

Address

30-32WorthingRoad 122EndeavourDrive 5CoconutStreet 22ChaucerWay 5ThurmondCourt 3/78SycamoreRoad 68PrincesHighway 155FordholmRoad 91AnneRoad 1AnnStreet 19GardnerStreet 15DwyerCourt 20WesternportRoad 8/111-115CentreRoad 42ShearwaterDrive 33GodwinAvenue 86KurrajongRoad 20LancashireDrive 6VictoriaRoad 7O\'ConnellStreet 9SandyRoad 7SandyRoad 59KallayDrive 2/35MichaelStreet 12BeaconsfieldCourt 18/75-751BoroniaRoad

We sell more.

Suburb

CranbourneNorth CranbourneNorth Drouin

Drouin EndeavourHills FrankstonSouth Hallam HamptonPark Knoxfield KooWeeRup KooWeeRup KooWeeRup LangLang Langwarrin NarreWarren NarreWarren NarreWarren NarreWarren NarreWarren Officer Officer Officer PioneerBay Scoresby Somerville Wantirna

2

2 2

2 2

2 2

2 2

2 2

2

Sale Price

2 2

2 2

2 2

$1,362,500 $657,000 $340,000 $600,000 $750,000 $700,000 $570,000 $620,000 $773,000 $986,000 $690,000 $928,500 $510,000 $600,000 $672,000 $721,000 $870,000 $845,500 $600,000 $1,090,000 $655,500 $655,000 $450,000 $795,000 $950,000 $750,000

Address Suburb

1AstonPlace

6PhyllisStreet

13WestwoodDrive

11WinchesterDrive

4HightonCourt 5SlingsbyAvenue

145SplitRockRoad

1/13MarynClose

4/17-19HazeldeneCourt

45MasqueradeRoad

4BarberCourt

10FlorenceAvenue

1/50LawrenceStreet

Unit2/25LatsAvenue

61KingswoodDrive

48GrandeBelmondAvenue

23MagiasCircuit

65CreeksideStreet

50ElmtreeCrescent

5BentleyLane

26FreibergerGrove

1BirchmorePlace

35KilmarnockWay

100GlenelgStreet

1/34CircleDrive

11GlenwoodCourt

Bayswater Bayswater BayswaterNorth BayswaterNorth Beaconsfield Beaconsfield BeaconsfieldUpper

Berwick Berwick Berwick Berwick Berwick BlackburnSouth CarrumDowns ChirnsidePark Clyde Clyde Clyde ClydeNorth ClydeNorth ClydeNorth ClydeNorth ClydeNorth ClydeNorth Cranbourne Cranbourne

3

2

2

2

2

We lease more. Rental price p/w. High Low Leased price p/w Leased price p/m Number of suburbs leased in. A snapshot of last months leases. $995 $370 Average weekly rent. $506 Average monthly rent. $2,197 24 $2,085 $1,868 $2,085 $2,607 $2,172 $1,868 $2,954 $1,694 $2,368 $3,475 $2,063 $2,259 $3,345 $1,738 $2,259 $1,738 $1,998 $2,042 $2,172 $1,607 $2,107 $1,911 $1,825 $2,085 $2,042 $2,042

2

$480 $430 $480 $600 $500 $430 $680 $390 $545 $800 $475 $520 $770 $400 $520 $400 $460 $470 $500 $370 $485 $440 $420 $480 $470 $470

We lease more.

Address Suburb

10MaddockDrive

1FionaDrive

29StathamView

79MorningsideBoulevard

4ShelfordCourt

12/9MountainGateDrive

713BurwoodHighway

145CranbourneRoad

5OaktreeDrive

1FarmilloCourt 97DarlingWay 3ScoblePlace Unit4/138FleetwoodDrive 8JadeWalk

45KobaWay

18MacLeodCircuit

6/40ArmyRoad

4/49KingStreet

2/1VineStreet

1AMintStreet

17HarlandSquare

2/177StudRoad

59TynerRoad

3/177StudRoad

4/177StudRoad

5DamianPlace

CranbourneEast CranbourneSouth CranbourneWest CranbourneWest FerntreeGully FerntreeGully FerntreeGully

Frankston HamptonPark Lysterfield NarreWarren NarreWarren NarreWarren Officer Officer Pakenham Pakenham Pakenham Ringwood Wantirna Wantirna WantirnaSouth WantirnaSouth WantirnaSouth WantirnaSouth WantirnaSouth

Leased price p/w

Leased price p/m

2 2

2

2

2

2 2

2

2 2

2 2

2 2

2

2

$395 $995 $480 $485 $520 $400 $480 $500 $395 $510 $440 $470 $380 $410 $495 $420 $370 $380 $420 $750 $550 $650 $500 $650 $570 $700

3 1 1 4 2 5 4 $1,716 $4,322 $2,085 $2,107 $2,259 $1,738 $2,085 $2,172 $1,716 $2,216 $1,911 $2,042 $1,651 $1,781 $2,150 $1,825 $1,607 $1,651 $1,825 $3,258 $2,389 $2,824 $2,172 $2,824 $2,476 $3,041

The return of overseas migration and its impact on the rental market

With Covid border closures now a distant memory, Australia has just seen its largest annual population growth since June 2020 – and housing markets aren't prepared for the influx.

With the rental market already struggling from supply constraints and heightened demand, this influx of people will add to the pressures felt in some of our largest cities.

The recent national, state and territory population release from the Australian Bureau of Statistics shows the country's population grew by 0.9% annually to March 2022.

A large contributor to this was the increase in net overseas migration by 204,000 people in the year ending March 2022.

On average, there has been a 32% rise in the number of highly engaged people looking at Melbourne rentals since August last year.

Rentals in Sydney and Brisbane have also received more interest, with a 26% and 20% increase respectively in the number of potential renters for each listing on realestate.com.au.

With companies encouraging a return to the office and international students resuming their studies in Australia, there has been a surge in competition for inner-city rental apartments and houses.

Weekly rental prices have increased by 9% across capital city markets over the past year as a result of high demand and low supply.

Rents in Sydney, Melbourne, and Brisbane have risen by 10%, 12% and 8% respectively.

As overseas migration continues to increase, demand for rentals will remain elevated for some time.

We expect to see little improvement in the supply of rentals amid already tight rental markets. Those factors will put further pressure on the cost of renting over the short- to mid-term.

source : www realestate.com.au

For the past two years, New South Wales and Victoria saw almost no population growth. With Melbourne and Sydney being usual hubs for international students, border closures had a considerable impact.

This was exacerbated by increased interstate migration into Queensland by residents from our two largest states, as they sought a lifestyle change and more affordable housing.

However, with overseas migration now returning, rental demand for homes in our largest capital cities has risen again – and this is reflected in weekly rent prices and the number of potential renters per listing.

How to work effectively with real estate agents

Whether you’re buying or selling property, it’s essential to have confidence in your real estate agent. Here's how to know you’re in safe hands.

For sellers, a great real estate agent will communicate effectively with buyers to help get the best price for your home. For buyers, agents can help pair you with the prefect property.

Bottom line: figuring out how to work productively with real estate agents is important for all parties.

With the help of Richard Simpson, President of Real Estate Institute of Victoria (REIV), we break down the most effective ways of working with agents and how to pick the right one for you.

1. Focus on the agent, not just the agency

While as a vendor (seller) you sign an authority to sell with a property agency, it’s the salesperson and their team who will be handling the sale of your home. Therefore, selecting the right agent is crucial.

3. Choose an agent that knows your area

Whileinternetadvertisinghasallowedagentstosellproperties acrossanynumberofsuburbs,nothingbeatsanagentwhoknows alltheinsandoutsofthelocalarea

“Alocalagentwillknowtheintricaciesofthedriversofvalueinthe areaandaremorelikelytohavequalifiedandactivebuyersontheir databases,”Richardsays.

Tohelpfindalocalexpert,REIV's‘ChooseaMember’toolcanhelp youfindanagentthat'sinyourarea

4. Develop a rapport

Asavendor,it’simportanttodevelopagoodrapportwithyour sellingagent.Youaretrustingthemwiththefutureofyourhome,so keepingaproductivelineofcommunicationwillhelpproducethe bestoutcome.

“You’regoingtobeworkingwithyouragentforaminimumofsix weeksandyoushouldbespeakingtothematleasttwotothree timesaweek,”Richardsays.

It’simportantthatyourchosenagenthasexcellentcommunication skills,notonlyindealingwithpotentialpurchasers,butinproviding youwithtimelyandhonestfeedbackfollowinginspectionsand discussionswithpotentialbuyers.

5. Trust the experts

Sellingyourpropertyisabigfinancialdecision.Itcanbedifficultto leavesuchanimportanttaskinthehandsofsomeoneelse

Remember,youchoseanagentfortheirprofessionalskillsin marketing,negotiatingandsellingandtheirknowledgeoflocal propertylegislation.REIVMemberswillhavewaystoseekthe correctinformationasneeded.Sometimesyouneedtoknowwhen tostepbackandletthemtakethereins,Richardsays.

Plus,agreatagentwillweabletogiveyouexpertguidanceatthe criticaljuncturesofthecampaign,headvises.

Withover7,000realestateprofessionalsasmembers,the REIVallowsyoutochooseaqualifiedagentwithconfidence.

Richardsaysthatthebestagentsareproactiveandmaintain positiverelationshipswithprospectivebuyers.

“Thedaysofsimplyopeningupahome,recordingbuyer namesandnumbersandwaitingforauctiondayaregone,”he says.

“Themostimportantpartofthesalesprocessisperformedby youragentduringtheweeksleadinguptothesale—speaking tothepotentialbuyers,answeringtheirquestions,encouraging themtoattendauctionsandbidandadvisingonoffers receivedandnegotiatingonyourbehalf.”

Theagencyisalsoimportantasoftentheprocessesand proceduresaredeterminedbytheofficeandnottheindividual. Over2,000realestateofficesacrossVictoriaaremembersof theREIV.

2. Do your research

Whilearealestateagentwillworktogetthebestpriceforyour home,it'suptoyoutodecidewhatpriceyouwillaccept. Assessingthecurrentmarketconditionsandlocalsalesactivity canhelpsetrealisticexpectationsforwhatisachievable.

Richardsaysit'simportanttoperformsomeduediligenceon yourhome’slikelysellingpriceandwhatisafairsellingfeefor apropertywithinyourarea.

“Youragentshouldprovidepracticalsolutionstoissuesthatarise duringthecampaign,includingsuggestionsonhowtohandleoffers orpriceadjustments,thatarein-linewiththelegislationwhile protectingyourinterests.”

Our network.

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Mornington

Rye

Endeavour Hills

Frankston Langwarrin Somerville Hastings

Narre Warren

Mentone Keysborough Chelsea Carrum Downs

Berwick

Tecoma / Belgrave / Olinda Pakenham

Oakleigh

Sydenham Drouin Warragul

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Wantirna Vermont Blackburn

Far North QueenslandNorthern Victoria Wodonga Melton Ringwood

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