Market Update

Melbournians will shortly lift their heads and look around and realise it’s that season again, whereupon the whole town will lay down its tools, and retire to its favorite places and think thoughts that have nothing to do with career, commerce, or capital.

But before that state of grace begins, before you break out the board shorts, bikinis and Bollinger, let us sign off by remarking on a couple of things that might be handy to know. Rather than the gloomy news property was making last December, this year we go into Christmas with great positivity. After a two-year downturn, Melbourne property prices have risen by over 5% in the last quarter and forecasts have the market rising by over 15% in 2020. With three interest rate cuts buyers are back borrowing and, within the last month, sellers are returning.

At Abercromby’s our stock levels have increased dramatically over October/November, which is, finally, allowing buyers a superb selection of premium properties. Jack Dempsey once defined a champion as, “Someone who gets up when he can’t.” That’s Melbourne real estate. We were assured it was down and out, but here it is, rising like they said it couldn’t.

Using our private and discreet methodology, at Abercromby’s we are currently selling 73% of our listed properties privately, many above reserve prices. And between now and Christmas, with both vendors and purchasers wanting finality, this clearance rate will only increase.

The market is returning to a state that will delight property owners. But not before prospective buyers can take advantage of the recent downturn. CoreLogic estimates the national index is still at 6.8 % below the October 2017 peak. Combine this with the abovementioned figures for price growth and canny buyers will see they have something like six months left to take advantage of this improved affordability before property values return to record levels. The time is now.

Christmas is a time when we at Abercromby’s like to acknowledge to you, and to each other, that our business only exists as a result of our relationships with our clients. That it’s about you. And we try to run these relationships with the same heartfelt integrity as we do our friendships. So, Happy Christmas, friends. From all of us here at Abercromby’s: drive safely, swim safely, love each other, and raise a glass of something good to this wonderful time and place. Have a Happy New Year and a successful 2020.

Abercromby’s has recently listed a selection of the finest available properties, any of which will be a pleasure for a prospective buyer to inspect... and a joy to own. To find out more about the properties on offer or if you’re looking to sell or buy quietly and discreetly, contact one of the ABERCROMBY’S team on 9864 5300.