Buyers push auction market to new heights

(From left to right: Ray White Earlwood sales executive Kieran Gianoudis, one of the buyers, Ray White Earlwood director Dean Vasil, the other buyer and the seller at 5 Gornall Ave, Earlwood.)

BUYERS’ dreams have been kept alive this week as the Federal Government announced a list of new initiatives to help Australians become homeowners.

The First Home Super Saver and the Family Home Guarantee were prompted by a hot property market that is showing little signs of slowing down with winter on the way. Certainly, Ray White auction metrics were as good as ever with the group recording a 73 per cent national preliminary clearance rate.It looks like the pent up buyer demand spilling over from 2020 is yet to dissipate as 4.8 average registered bidders showed up at Ray White auctions across the country. Proving how serious many of these buyers were, Ray White’s average active bidder number was also high with three per auction.Auction sellers can also rejoice this week after achieving 12.04 per cent more than the highest offer prior under the hammer.With property prices at historic highs and new buyer incentives that Ray White Group Managing Director Dan White describes as “great news for the property industry”, more and more Australians are heeding the call to sell now. Despite appraisal levels and new listing authority figures rising, intense buyer demand still rules the market with stock being snapped up within days.New listings added to the market are now well above long-term averages but strong demand is keeping overall advertised stock levels low. The number of fresh listings added to the housing market has shown a substantial lift relative to the past two years.Ray White added 14 per cent of the 40,000 new residential property listings to the market nationally over the four weeks of April. Some 8,213 new listing authorities were signed by a Ray White member in April across Australia and New Zealand, a rise of 11 per cent on the same month in 2019.The rise in new listing numbers signals an improvement in seller confidence. More homeowners are taking advantage of strong selling conditions while it's still a sellers’ market.Ray White total advertised stock levels are down 30 per cent on two years ago at 15,000 listings across Australia. Such a low total listing number, at a time when new listings are above average, reflects the strength of buyer demand, fueling the current rapid rate of absorption.

In Sydney, Ray White New South Wales chief auctioneer Alex Pattaro said there are still plenty of buyers in the market however there is also a slight sense of cautiousness.

“Auction continues to remain the best method of sale to achieve premium prices, we saw countless times today buyers make pre-auction offers and properties selling for a higher amount under the hammer,” he said.

“The property prices in the marketplace remain at record highs and sellers within the market are urged to understand the conditions before making decisions.”

Mr Pattaro had a brush with Australian music royalty today after calling the auction of iconic pop duo Angus and Julia Stone’s grandparents' house. No 27 Boulton St, Putney was built by the sibling’s great granddad 72 years ago, but today it sold for $2.85 million to young buyers from the area.Selling agent Joseph Mazar of Ray White Gladesville said the Stones’ auction attracted 15 registered bidders after about 60 buyers inspected the property.“It was a great result, we had good competition and good interest. It’s been a very good market for both buyers and sellers at the moment and everyone loves Putney - they see a lot of value in the suburb,” Mr Mazar said.Earlier in the day, Mr Pattaro also brought down the hammer on 5 Gornall Ave, Earlwood for $1.625 million. The deceased estate was marketed by Ray White Earlwood director Dean Vasil who said the property sold substantially above reserve.“The family who bought it were frontrunners throughout the entire campaign and we had a strong feeling they were going to buy it,” Mr Vasil said.“There was really competitive, strong bidding at the auction, something that is quite common in today’s market, but it was one of the more competitive settings that we were able to create.“It’s a reflection of how healthy and qualified buyers are with a bit of buyer fatigue which contributed to them bidding hard and strong. They aren’t there to muck around, they are seasoned auction attendees and they mean business.”

Ray White Drummoyne agent Chris Wilkins recorded one of the top sales of the day with a massive $6.175 million auction at 112 Henley Marine Dr, Drummoyne.A crowd of about 70 people watched on as two of the five registered bidders went head to head against a bay view backdrop. While he received interest from expats buyers in Singapore, Mr Wilkins said it was a local family who had been looking for a few years that claimed the keys.“They had been looking since mid-2019 and had taken their time finding something they really loved and thankfully it worked out for them today,” he said.“We also drew interest from buyers who hadn’t seen the property or only inspected it the day before along with three buyers from Singapore with the view of coming back to Australia in the coming months.”Similar to most segments of the market at the moment, Mr Wilkins said the prestige market is very stable and is getting a lot of online interest.“I think 80 groups through a home within four weeks indicates a pretty strong market,” he said.“Obviously, a lot of buyers at this level keep their cards close to their chest but there has still been a huge level of demand.“In terms of stock levels, it’s still a bit patchy, we have runs of about a month or two then it takes a holiday then comes back again.”Another of the top sales stayed in Sydney, with Ray White Balmain agent Chris Williams and principal Rebecca Fearon (pictured above with the sellers) selling 11 Spring St, Birchgrove for $5.4 million to a local family. All four of the registered bidders were active, trading blows as the price went up by $10,000 and $100,000 increments until it hit the sale price.“This is another indication that the prestige market is as strong as ever. There are lots of people looking to upsize at the moment to find a bit more room for their growing families which has contributed to the huge demand we’re seeing across this part of the market,” Mr Williams said.

Despite being the inauspicious number 44 Bungalow Ave, Pymble, Ray White Roseville agent Jessica Cao had no problem getting buyers through the door. Selling for $4.45 million at auction today (pictured above), the five bedroom home attracted three active bidders out of the seven who registered.The Pymble home sold to a local family wanting to upgrade in the area to take advantage of the great location and beautiful design of the home. Meanwhile, the sellers have made the move closer to their children’s school and are over the moon with the result.In Melbourne, Ray White Victoria | Tasmania chief auctioneer Matthew Condon said Victoria's real estate market continues to go from strength to strength.“Despite the significant increase in auction volume based on preliminary data from the Ray White group we've seen an increase in registered bidder activity and our overall clearance rate on the ground,” he said.“Big crowds arrived at each auction, despite the rain, and weather. Auctions were slow to start however quickly built momentum with a large percentage of properties selling well in excess of reserve price.”Nothing was going to stop agent Matt Morris of leading Melbourne auction office, Ray White Ferntree Gully, not even rain. Halfway through the auction of 4 Easton Court, Ferntree Gully, Mr Morris, five registered bidders and their families were forced to move the auction to the undercover backyard due to heavy rain.Despite the deluge, the six bedroom home still sold for $1.195 million, well above the $990,000 reserve to a family who had been looking since December.“They were sick of missing out and really wanted it. It was a similar story on another auction of mine today where the buyer had been looking since pre-COVID,” Mr Morris said.The other auction was at 72 Elton Rd, Ferntree Gully which sold for $765,000 to a determined first home buyer.Powerhouse office Ray White Ferntree Gully took 15 properties to auction today with managing director Patrick McConnachie confident of a strong clearance rate at the end of the day.In one of the highest sales for Ray White Victoria today, Leigh Kelepouris of Ray White Oakleigh put away 16 Rowena Rd, Malvern East for $1.730 million at auction.The winning bidders were in luck today after missing out on several other auctions in the area. The couple are thrilled to be able to call the four bedroom property home while the sellers are excited to move on to a larger property.“The buyers had been to a few other auctions of mine that had escaped them because of their budget but today they were determined not to miss out,” Mr Kelepouris said.“And considering the sellers only bought a couple of years ago, they are delighted at how much the property has increased in value since they purchased.”All four of the registered bidders actively participated and while the bidding started at $1.4 million, Mr Kelepouris said it quickly moved up to the sale price.Later in the day, the Ray White Oakleigh agent also sold 10 Fleming Court, Oakleigh South for sellers Paul and Rosa Caminiti. There were 10 registered bidders interested in the four bedroom property which sold for $1.37 million to a young family who were previously renting. The Caminitis have already bought another property and are excited to focus on building their dream home.

In Brisbane, Ray White Queensland chief auctioneer Mitch Peereboom said it was a cracking Saturday with some outstanding results.“Today capped off a huge week of auctions around Queensland. If you look at sale prices and you look at the segments that are performing the only words to use are ‘across every market,” Mr Peereboom said.“We are seeing exceptional competition and a great number of registered bidders across our auctions today and through our in-rooms during the week.”The top national sale of the day came in at $7 million after Ray White Runaway Bay Group agent Edin Kara sold 47-49 Knightsbridge Pde West to a local buyer (pictured far right with the sellers) with the help of director Ali Mian and fellow agent Winson Woo.“It was a great campaign, we have three registered bidders and oversaw about 50 inspections,” Mr Kara said.“The market is great at the moment. I think COVID has changed a lot of people’s priorities and lifestyles and they are prepared to spend more money on their home.”One Brisbane man is looking forward to a great Father’s Day after purchasing 125 Alexandra Rd, Clayfield for his daughter at auction this morning. The five bedroom property went under the hammer for $2.092 million through Ray White New Farm sales manager Nicholas Given.“The buyer saw value in the land and thought it’s very hard to get a sight like this and didn’t want to let it go. I believe he plans to do a major renovation on the property,” Mr Given said.Four of the nine registered bidders actively bid at the morning auction which Mr Given described as “very relaxed and conversational with a 50/50 split of families and developers.”Ray White Paddington agent Judi O’Dea continued her hot streak after selling 28 Prince St, Paddington at auction on Wednesday for $2.930 million. Today, she added 17 Grace St, Red Hill to her sold list after a $1.7 million under the hammer sale, saying “auctions are really, really working for us in this market.”

In Adelaide, Ray White South Australia chief auctioneer John Morris (pictured above calling the 3 Princes Rd, Greenacres auction) said the market is still white hot.“In the film ‘The Matrix’, it says that deja vu is a glitch in the programming. Well, there's certainly plenty of glitches in the programming at the moment in South Australia, the market is still white hot,” he said.“We've gotten an average of about 11 registered bidders from the auctions that I've been part of. There has been plenty of action that looks only set to rise, we've got 30 odd per cent market share of auctions for this week, which is absolutely fantastic and pretty much becoming the norm for Ray White in South Australia.”In Greenacres, Ray White Norwood agent Stefan Siciliano kicked off the morning with a $650,000 sale at 3 Princes Rd.“The auction began slowly at $450,000 but really took off after that as 21 registered bidders crowded the front yard,” Mr Siciliano said.“In the end it was a developer who placed the winning bid which was well above reserve.”

It just goes to show that it’s a strong market when you have buyers walking up off the street to bid at auction like Ray White Mount Barker | Strathalbyn agent Joshua Bagley experienced.Mr Bagley sold 3/22A Sandergrove Rd, Strathalbyn under the hammer this morning to a buyer (pictured above) who had walked up five minutes before the auction for $352,000.“The buyer had just sold about 30 minutes away and was desperate to buy. Afterwards, he said to me he can’t believe he just bought a house,” Mr Bagley said.“It sold roughly $12,000 above the vendor’s reserve price with two active bidders and eight people in the crowd.“The seller was a young lady who had never sold before. She was sceptical about going to auction but was ready to trust the process. She kept missing out elsewhere because she hadn’t sold so she really wanted a result today.”