Auction

Results from our 6th May Auction

The 6 May 2019 portfolio comprised just three properties in Sunnyhills, Dannemora and Flat Bush. Nonetheless, the Headsail room of the Bucklands Beach Yacht Club, the home of Ray White Auctions, enjoyed a pleasing attendance. This included people who had registered buying interest and those who had expressed conditional buying interest, as well as those who came along to see what is selling and for what price, to give an idea of what is happening very currently in the real estate market.

The highlight of the evening was the “under the hammer” sale of 17 Maybole Drive at $1,235,000. At the time of writing this report, we continue to work with identified buyer interest for the remaining properties to try and achieve vendor price expectations.

There are always various reasons why potential buyers cannot meet the terms of an Auction For Sale and Purchase Agreement, which is a totally unconditional agreement. However, as stated above, we try to work with these potential buyers to attract the best conditional sale for our client vendors.

The goal of our Auction Marketing Programmes is provide our Vendor clients with an unconditional sale or, after three weeks of marketing there is a base to work with conditional buying interest if unconditional buying interest is not achieved at, or immediately post auction.

It is also important to note that some vendors are not always able to accept buyer expectations of price for various reasons. However, auction marketing is a very positive way of testing the market in a defined space of time to determine if the buyer’s price will enable them to make the lifestyle/ property change they envisage.

The unexpected decision by the government not to proceed with a capital gains tax and the recent OCR decision regarding interest rates may well stabilise buyer confidence. However, the forthcoming budget will also influence buyer confidence and decision making.

Our 13, 20 and 27 May portfolios comprise some 40 properties and so, along with our vendor clients, we continue to offer buyers quality property buying choices throughout our Eastern Beaches area.

As a foot note – I keep an eye on Australian trends through reports published by WILLIAMS MEDIA, which this week reported: The nation’s auction market continues to rebound from its Easter/Anzac Day lull, with the latest CoreLogic results indicating volume has increased across the major markets throughout the past week. CoreLogic market analyst Kevin Brogan told WILLIAMS MEDIA while the bounce back from last month’s public holidays was “fairly normal”, there were multiple external factors that could impact volumes in the coming weeks.

“We’ve seen that rebound, but there are a couple of other issues,” he said. “As you come into winter, volumes tend to drop a bit, and there is also the election, which is now only two weeks away. I think the week of the election is going to be impacted fairly significantly, in terms of volumes. It means there have only been two weekends without public holidays ahead of the election, which has really disrupted the market.”

Ken Ralph

Auction Services Manager