Word on the street: Market, Property Management and New Projects updates for Q1 2024
2024 began with a bang. And don’t our Sales, Property Management and New Projects teams know it! Curious what’s been keeping them busy through the first quarter of this year? And what they’re expecting to come in the last quarter of the financial year? Read on to discover all the latest market movements and trends.
Sales update
With record-breaking volume and stock levels, our market experts Gary Peer, Jeremy Rosens, Leon Gouzenfiter and Leor Samuel were kept very busy through Q1 2024.
What’s happening now?
Right now, buyers are happy to extend their budget if it means they won’t need to pay any more once they settle.
It’s why we’re seeing such strength in the prestige market. In fact, many of our properties are achieving premium sales as a result.
We believe this is partly due to the collapse of more building companies, labour shortages and overpriced construction materials. All of which contribute to people preferring to buy nearly perfect properties – rather than build their own.
We’ve heard whispers of some properties potentially being underquoted after they sell for more than expected at auction. But we don’t believe that to be the case. Rather, it’s because so many buyers have been waiting for these properties through the slower 2023 – so come auction day, they’re prepared to pay.
And the good news? Interest rates have steadied – and there’s chatter they’ll come down mid to late this year. So, investors, take note!
What were the quarter’s standout sales?
After an intense back-and-forth between three bidders, 2/22 Buckingham Avenue, Bentleigh – located in the middle of the prized Valkstone primary and McKinnon secondary school zones – sold at auction for an incredible $950,000.
Another standout sale was at 35 Evelyn Street, St Kilda, with three bidders throwing their hats in the ring.
A great result came out of the auction for 110/3 Elliott Avenue, Carnegie, when it sold for $741,000 – which was $121,000 over the reserve.
But, drawing a crowd of over 200 people, 3 Ward Avenue in Caulfield North was one of this quarter’s most exciting auctions. After a gruelling NINE bidder battle, this one’s sale made everyone happy.
Where to from here?
After such a huge quarter, naturally, volume is now shrinking. But the appetite for great-quality homes among buyers is not.
The market seems to have levelled. So here at Gary Peer, we’re set to maintain strong clearance rates at auction – because across the board, demand remains consistent.
Property Management update
As we step into the last quarter of the financial year, our property management experts, Jenny Caughey and Anthony Lee, have some advice for rental providers ahead of tax time.
What are the renters doing?
The rumours are true: there is a very limited stock situation right now. This makes our days on the market phenomenally low, ranging between 4 to 6 days, with no drops in rent.
This means renters prefer to stay put – absorbing rent increases rather than heading back out into a competitive market.
As a result, investors are beginning to wonder if they should re-enter the market. Our advice? It’s never been a better time to be an owner.
Rental providers and tax time – how can we help?
Property records. Bank statements. Depreciation records. For our rental providers, we do everything in our power to make sure you don’t get buried under all the tax-time documentation.
Not sure about your property’s depreciation schedule? No worries. We can recommend the best companies in the business to facilitate setting one up for you.
We’re also reminding all our clients that tax time presents a golden opportunity to get the most bang for your buck. By investing in some home improvements before 30 June, you can still claim them in this financial year!
Where to from here?
As VCAT continued to clear out its backlog of cases – with our team attending over 30 hearings – we move into the next quarter with sharper advocacy skills than ever before.
That means we have more time to spend on the issues that matter to you, now.
New Projects update
When Julian Millman and his specialist team look at Q1 2024, one thing’s for certain: we’re dealing with matters of when – not if.
The big picture
In terms of enquiries, it’s been a particularly impressive start to the year. But… buyers aren’t pulling the trigger as quickly as we’d like. That said, we know they will.
With interest rates stabilising – and perhaps dropping towards the end of the year – the first- and second-home buyers who held back at the end of last year have come out and said, ‘the time is now’.
So downsizers, rejoice! We have several exciting opportunities for you to look at in the next few months.
Our own backyard
The New Projects team has had an exciting Q1 2024.
Our Windsor Park project is nearly complete, with the first of these park-front apartments almost ready for buyer viewing. Designed for expansive entertaining, these timeless yet distinctly modern homes are sure to impress.
Meanwhile, Olive Green has started construction, which is particularly exciting for the buyers who’ve had their eye on it for the past six months. The same is true for Seymoure & Blanche. Investors, these ones are for you.
Onwards and upwards
Burton Place and Casa Elwood are well under construction. As a result, we’re witnessing sky-rocketing enquiries for them both.
A quick tip from us: if you like the idea of Bayside luxury living at its finest, keep an eye on Casa Elwood in particular. We’ll be launching Stage 2 in the next couple of months.
So bring on Q2! With the momentum we’ve built from Q1, we’re marching full-steam ahead into mid-year.