Melbourne Auction Results – 23rd November 2015
In this week’s property market wrap we look at the latest ABS seasonally adjusted Wage Price Index (WPI) results and find out why these results impact on rentals from investment properties. We also reveal the top regional growth areas for rental properties and the state’s strongest performers.
Clearance Rate: 67%
Reported Auctions: 1172
Sold at Auction: 641
Passed in: 392
Sold Before: 138
Sold After: 1
Auction Volumes: $667.4m
Last Weekend: 1453
Last Year: 1230
A clearance rate of 67 per cent was recorded this weekend compared to 69 per cent last weekend and 65 per cent this weekend last year. There were 1172 auctions reported to the REIV this weekend, with 780 selling and 392 being passed in, 153 of those on a vendor bid.
Next weekend is expected to be one of the highest on record, with around 1,750 auctions scheduled.
Martin North of Digital Finance Analytics reports – According to the ABS, the seasonally adjusted Wage Price Index (WPI) rose 0.6 per cent in the September quarter 2015 and 2.3 per cent over the last year, according to figures recently released. It is an all time record low for the Private sector, though Government servants are doing rather better. This data underscores the continued pressure on rentals from investment properties, because rentals are more linked to income than house prices.
In the September quarter 2015, Private sector wages grew 0.5 per cent and Public sector wages grew 0.7 per cent (seasonally adjusted).
Private sector seasonally adjusted wage growth of 2.1 per cent over the last year is the lowest rate of wages growth since the start of the WPI series. The through-the-year series was first published in September quarter 1998.
In the Public sector, wages grew 2.7 per cent over the last year.
In the September quarter, the largest rise (original series) of all industries is 1.6 per cent in Accommodation and food services. Finance and insurance services had the smallest rise of 0.2 per cent.
It has been a good year for property investors with rental growth recorded across regional Victoria in the 12 months to the end of September.
New REIV data shows the largest rental increase were for two-bedroom homes, up 3.9 per cent over the year to a weekly median rental of $250. Rental growth was also seen for one-bedroom units, up 3.2 per cent to $165 per week, and four-bedroom homes, up 2.9 per cent to $360.
Find out in this report from REIV, the top regional growth areas and the state’s strongest performers.
Top 5 Houses
- 66 Gordon Street, Balwyn $4,880,000
- 28 Cosham Street, Brighton $3,925,000
- 16 Belmont Avenue, Kew $3,905,000
- 6 Black Street, Brighton $3,675,000
- 12 Angle Road, Deepdene $3,410,000
Top 5 Bargain Houses
- 20 Wyuna Street, Rosebud West $275,000
- 28 Paroo Avenue, Roxburgh Park $342,000
- 27 Warne Street, Coolaroo $346,000
- 5 Mitford Crescent, Craigieburn $348,000
- 11 Gander Street, Doreen $350,000
Top 5 Apartments
- 217-219 Dryburgh Street, North Melbourne $2,370,000
- 2306/229 Toorak Road, South Yarra $1,550,000
- 2A Bayview Street, Elsternwick $1,500,000
- 4 Clapham Street, Balwyn $1,473,000
- 1/32 Bogong Avenue, Glen Waverley $1,420,00
Top 5 Bargain Apartments
- 9/73 Kingsville Street, Kingsville $228,000
- 5/243 Murrumbeena Road, Murrumbeena $249,000
- 15/745 Barkly Street, West Footscray $265,000
- 7/55 Pender Street, Thornbury $280,500
- 3/1 Mattea Court, Reservoir $281,000