Lotsa people sniffing fairy dust. Begging, BEGGING to see 30% crashes to laugh at the suffering of the mostly young newby entrants of the last 4-5 yrs whose lives could be destroyed by such a crash. Pathetic. A loser's mindset. Insteada begging to feed off the carcass of the newbies, why can't they get out there to make it happen for themselves. Everyone else does it:Race for space: Melbourne’s ‘hellish’ housing Hunger Games
ByCara Waters
February 11, 2023 — 7.59pmKEY POINTS
- Rental vacancy rates in Melbourne are at a record low of 1 per cent and advertised rents are continuing to rise.
- A further interest rate rise this week to a ten year high of 3.35 per cent has made buying a home increasingly unaffordable for many.
The latest interest rate hike has not dampened buyer appetite, if the bumper turnout at one Preston home that went under the hammer on Saturday is anything to go by.
Meanwhile, the “hellish” dash to secure a rental rolls on, with panic about finding a home taking grip even among those on comfortable incomes with strong histories.
A crowd lines up for the auction at 41A Jacka Street Preston on Saturday, where the house sold for $1.2 million. CREDIT:JOE ARMAO
On the first Saturday of auctions since the rate rise, The Sunday Age charted a course across the hipsterish suburb in Melbourne’s north, attending auctions and open-for-inspection rentals. The suburb has a median house price of $1.08 million, just above the city’s median of $1.03 million.
Some buyers and tenants scored their dream homes, but for most, the hunt continues.
At 41A Jacka Street, the auction of a three-bedroom house drew a crowd. The property, which was advertised for between $1 million to $1.1 million, sold for a little over $1.2 million.
Auctioneer Jesse Dolcetta said he was not surprised by the interest in the “beautiful home in a good spot”, which saw three parties trading bids.
While the property market slowed last year as a string of rate rises took some of the sting out of values, there had been a recent influx of buyers competing for a limited number of properties, he said. But the dip in prices has seen some sellers holding off in the hope of a market rebound.
Auctioneer Jesse Dolcetta at the Auction at 41A Jacka Street Preston.CREDIT:JOE ARMAO
“Stock is pretty tight at the moment,” Dolcetta said. “For quality homes, it’s a little bit tighter again.”
AdvertisementThere were nine properties auctioned in Preston on Saturday.
“We found a lot more buyer activity in the market,” Dolcetta said. “The interest rate rise this week hasn’t slowed that.”
Interest rates on Tuesday hit a 10-year high of 3.35 per cent, making the repayments on beefy home loans increasingly unaffordable for many.
But some buyers, Dolcetta said, had already factored that in.
“I think most people sort of already brace for it,” he said. “At the end of the day, people still need to upsize, downsize and transact.”
