Market Wrap – Grand Final Weekend

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Grand Final weekend is traditionally a time when the Melbourne Auction market takes a short pause amidst the hectic spring selling season, and this year was no exception.

But the long weekend wasn’t a break for all. With the warmer weather upon us, the holiday rental market comes alive, especially in popular getaway locations like Torquay, Rye and Daylesford.

In fact, our Daylesford office geared up for an exciting Rugby Sevens completion, Seven’s in The Springs, took place over the long weekend. With gay inclusive teams from all over the globe participating, plus a series of special events organised in the spa town, the region will have been bustling with spectators, teams and holidaymakers.

The thrilling part about visiting Daylesford (apart from the spas, foodie hot spots and views of the Great Dividing Range) is the exquisite Victorian-style cottages that are abundant in the old gold-mining town. One of the oldest regions in Victoria, we highly recommend renting out one of these cottages from the 1800s era – it makes the whole experience far more authentic.

Market Wrap – Grand Final Day

This weekend marked the most anticipated game on the AFL agenda – Grand Final Day – which typically sees the property market spend some time on the bench. The short pause is a good time to reflect on the housing market – especially with speculation of a real estate bubble heating up.

On one side, the RBA has warned the market is overheating, driven by presumed demand from foreign investors who are driving up house prices. Another school of thought comes from Federal Treasurer Joe Hockey who has dismissed claims of a bubble. He believes the chatter is exaggerated due to a shortage of housing supply in Australia’s capital cities (where population is booming) and negligible housing debt levels. For instance, Melbourne is on track to become Australia’s largest city with a forecasted population of 8 million by 2053, and the CBD population increasing by 23 percent in the last year. To add, some property analysts suggest house price growth in Melbourne is simply playing catch-up after a couple of average years.

Remember to take the opportunity to reflect. The property bubble commentary often resurfaces, so best to assess all the viewpoints to help decide if the time is right to enter the market.

Looking to escape This Weekend?

If you are looking to escape talk of AFL this weekend and like the Godfather films, you might want to visit Melbourne’s ACMI.  Showing 21 September – 28 September the Godfather Part II could be a great way to escape football chatter.