Market Update

Whether the lockdown restrictions have been too draconian and needlessly harmful to the economy or not is a debate without end. Suffice to say, as they begin to ease, we seem to have come through the first and worst assault of this pandemic better, both health-wise and economically, than virtually any other place on Earth. To any of our clients and friends out there who have lost a loved one to Covid-19 the partners and staff of Abercromby’s extends our deepest condolences. Lost sales, lost tenants, market downturns, fewer properties... these fears are readily put into perspective by the human aspect of this crisis.

Our industry has been in uncharted waters. With public auctions banned the industry experimented with virtual auctions, but soon found it was a methodology that lacked the psychological energy of an eyeball-to-eyeball event. Put simply, online auctions don’t work very well.

Private inspections and public auctions are now up and running again but with a maximum limit of 10 prospective purchasers and a strict set of health and safety provisions. With such restrictive numbers these auctions will necessarily be by invitation to registered buyers for the time being. This is what we do naturally. Abercromby’s invented and refined private auctions, they are part of our modus operandi, and have yielded outstanding results for our vendors for many years. So we are once again ahead of the pack when it comes to selling into the new Covid-19 environment.

The supply of top end property has fallen by more than forty percent since the pandemic and its resulting restrictions began in Victoria. But we have noticed many more buyers entering the market in the last week and should this continue the doomsayers would, once again, be wrong.

Abercromby’s has listed some of Melbourne and Victoria’s most stunning homes for sale in the coming months, and we invite you to contact one of our sales team to view these properties.

PROPERTY MANAGEMENT UPDATE

Properties are still leasing well, provided landlords are realistic enough to meet the unique market conditions. Modern apartments and houses seem to be particularly popular currently... perhaps something to do with looking to the future and bright tomorrows. Richmond is an especial hotspot at the moment. Elsewhere properties are taking a little longer to lease, though we expect that once lockdown restrictions are further loosened there will be a flurry of transmigration across town. It has never been busier for private inspections, with myriad enquiries from Gen-Y renters who have had enough of being incarcerated alongside the ignorant relics who raised them.

It’s been a challenging autumn, and winter will likely be the same, but we are expecting a great awakening from hibernation in spring.

With most of us doing a lot more cooking at home since the hospitality industry shut down properties with fully-equipped modern kitchens are particularly in demand.

OVERVIEW.

The temporary Covid-19 controls inhibiting the economy make it difficult to gauge the short-term market, but the underlying strength of the Victorian property market cannot be denied. (Well, it can, and many journalists have, but they have been as flawlessly and repetitively wrong as those televangelist preachers predicting the end of the world on the 25th of next month. Neither the preachers nor the journos are ever abashed when the world survives, though. They simply choose another date for Armageddon.)

One likely future trend to come from the Covid-19 pandemic is what we at Abercromby’s are calling the “Offices-Are-So-Yesterday Effect.” Now that the lockdown has demonstrated how efficient and easy it is for many people in many professions to work from home, we’re beginning to appreciate the twinned capacity of the home as both residence and workplace. This will mean homebuyers are willing to invest more capital in property and lead to an upgrade of housing stocks and an energised market as capital shifts from commercial to domestic real estate.

Bearing that in mind you’ll be interested to look through this array of peerless properties Abercromby’s has recently listed which would be a joy both to live in and to work from.