August Market Summary
Turning our backs on winter is always one of the pleasures of the year. Now onto spring – with its promise of new growth and renewed optimism.
So, was our August – that final winter month – as tough as all the property experts were announcing?
Well it was not that difficult after all. Our sales cruised over the $2 billion (actually $2.14 billion) yardstick. To us, achieving that number again proves the continuing resilience of our Residential markets.
There were some pleasant surprises. Queensland’s recovery continued on from the previous month – with more good news from the beleaguered Gold Coast where an outstanding riverfront property exceeded its auction reserve by $1 million. Indeed, Auctions are giving enhanced confidence to buyers of current market values. Nothing excites price support more than the sight of other buyers vying for the same asset. Backing this up, Surfers Paradise returned to their traditional position by heading up the Ray White Group’s month result.
Of specific interest was the “helmsman” Auction conducted over 76 accommodation units on the Falls Creek snowfields of Victoria in, perhaps, the biggest “no reserve” Auction we have ever performed. Over 1200 bids were made during the last Sunday of August. Certainly, our clients were delighted with the sell out.
Prices were below the previous listed levels but no sales had been made for nearly two years!
All other markets were consistent – perhaps this being the feature if the month – just the overall consistency of results, no massive swings. Just continuing support. For the first time, New South Wales comprised half the Group’s Top 10 offices.
Our mortgage origination service, Loan Market, numbers were 15% up on the same month last year. More evidence that buyers are active. A contrast to the community image of everyone saving rather than spending!
Finally, there was a lot of activity in the medium Commercial markets with Ray White Commercial having its best month this year. That includes a lot of leasing deals – suggesting a renewal of confidence in the medium sized business sector.
The restoration of export trade to Indonesia permitted a quick recovery in the Rural sector in Australia. Evidence of our appeal to International Investors reflected by our Bruce Gunning’s sale of a 2,200 hectare cotton property in Northern NSW for $14 million during the month.
Credit: Brian White