Results strong in Melbourne’s east, southeast: Barry Plant's Mike McCarthy

Results strong in Melbourne’s east, southeast: Barry Plant's Mike McCarthy
Results strong in Melbourne’s east, southeast: Barry Plant's Mike McCarthy

GUEST OBSERVER

A quarterly survey shows the Barry Plant Group is meeting escalating vendor price expectations in the vast majority of cases, and exceeding it an impressive 40%.

The average property price achieved by our Group in September was 15.7% higher than for the same time last year.

Rising property prices throughout Victoria have generally increased sellers’ expectation of sale price.

Results were particularly strong in Melbourne’s east and southeast across both inner and outer markets, with areas such as Narre Warren reporting that 90% of sales exceeded seller expectation, followed closely by the cities of Monash and Manningham. Areas that have flown largely underneath the media radar, such as Frankston and Sunshine, also reported a figure of 90%, with Gladstone Park, Taylors Lakes and Mill Park recording similarly high numbers.

The Reserve Bank’s move to curb investors has done little to dampen their enthusiasm, with 40% of Barry Plant’s 80 offices reporting strong investor activity, notably in the median-priced suburbs such as Frankston, Sunbury and Noble Park. Mildura, Rosebud and Geelong enjoyed strong investor interest in the non-metro sector.

40% of the Group’s offices said that first homebuyer activity was still strong most prominently in the outer suburbs, but some of the higher-priced areas such as Essendon, Blackburn and Mordialloc also featured.

Properties in most suburbs are selling faster than they did at the end of the 2015 financial year, with 63% of offices reporting days on the market to be fewer.

Just over half of the offices (56%) noted a shortfall in stock levels, primarily in the outer west and northern suburbs, while only 3 locations reported an oversupply.

The results of the survey overall support our data showing that the market in the middle to outer suburbs is still strong and probably has some time to run still

 

Mike McCarthy is chief executive officer of the Barry Plant Group and can be contacted here.

Tags: 
Melbourne Property market

Comments

Be the first one to comment on this article
What would you like to say about this project?