News & Insights
According to Domain, this resurgence has been largely underpinned by the unseasonably weak flow of new listings since spring 2022, which has led to increased competition among buyers. (Source: The Urban Developer)
As CoreLogic’s Research Director, Tim Lawless said, “With such a short supply of available housing stock, buyers are becoming more competitive and there’s an element of FOMO (fear of missing out) creeping into the market.” (Source: CoreLogic)
The return of international buyers has also contributed to heightened market interest, attracted by Melbourne’s dynamic lifestyle, employment opportunities, top-tier education offerings, infrastructure, liveability, property investment potential, and diverse property options.
Increased auction clearance rates
Marshall White properties have demonstrated remarkable success at auctions, maintaining a consistently high clearance rate across all 10 offices with an above average 87% for the April to mid-June period. Notably, in some instances where properties were initially passed in on auction day, we have seen a substantial uplift on the passed in price when these homes were subsequently sold.
Accelerated property sales
A surge in buyer interest is often reflected in faster property sales compared to previous periods. When properties spend minimal time on the market before being sold, it indicates a heightened demand from prospective buyers. Several Marshall White homes have been selling before auction dates and even prior to the closing of Expressions of Interest (EOI).
Multiple offers and bidding wars
In a competitive market, the occurrence of multiple offers at the close of EOI and auction bidding wars becomes prevalent. The rising number of properties attracting multiple offers and buyers engaging in bidding wars signifies a surge in buyer interest and intensified competition for available properties, ultimately resulting in favourable outcomes for vendors. Several of our properties have been generating intense competition, with as many as seven bidders vying for ownership.
Increased open and private inspection attendance
Increased attendance at open and private property inspections is a clear indication of heightened buyer interest in the market. We have observed more prospective buyers actively participating in property viewings, suggesting a growing demand and a larger pool of potential buyers. The increased foot traffic and higher number of attendees often translate into more enquiries, offers, and a greater likelihood of successful property sales.
Properties selling off-market prior to commencing the public selling campaign
Recent off-market Marshall White sales prove that there are motivated buyers actively searching for properties willing to make offers without the property being publicly listed. This has implied a sense of urgency and competitiveness among buyers, and a desire to secure properties swiftly and discreetly.
These five signs collectively indicate robust buyer interest in the Melbourne property market and can be used to gauge the overall market sentiment.
If you are thinking of selling your property, contact your local Marshall White team to discuss your desired property outcome.