As we close on an amazing year that was 2018, the real estate market had many challenges along with forces and economic conditions from the Banking Royal Commission, Major Banks and political sectors. Despite this we feel positive about the market place in Melbourne for 2019 and the results we have achieved for our clients during the last 12 months have proven that when navigating the best results for our clients “size doesn’t matter, experience counts”.
What an amazing night of celebrations, last Saturday night on 15th December was our 2018 Raine&Horne Victorian State Awards & Gala Night. #Masquerade Palladium at the Crown Casino
After our first year as a team and growing family Raine & Horne Essendon we were honoured to have our team receive multiple awards.
Raine&Horne Essendon – Awards&Gratefulness
From All Us Raine-Deers
There is no time more fitting to say “Thank You” for all of your support throughout this past year and wish you a Happy Holiday Season and New Year of health, happiness and prosperity in 2019
Jameson Roe
Rookie of the Year – Sales Person
Jacinta Bazzano
Outstanding Receptionist
Bree Dickson
Outstanding Property Manager
Michelle Errichiello
Outstanding Office Support
It’s with love and thanks to our family, friends and valued clients who support us everyday, that we get to enjoy these awards for our services provided.
So proud and privileged to be selected amongst our great network of real estate agents, now 21 years in Victoria and celebrating 135 Years Strong as an Australian Superbrand! Bring on 2019!
Raine&Horne Essendon State of the Market News – Melbourne Real Estate
REIV December Research Bulletin –
Following the Reserve Bank meeting in December 2018, the cash rate
was left unchanged at 1.5 per cent, as it has been since August 2016.
The standard variable rate remained at 5.35 per cent.
There were 3,528 auctions held in November 2018. A total of 1,744 of
these sold representing a clearance rate of 49.4 per cent for the month.
So far there have been 35,742 auctions held in Victoria in 2018, with 61.8
per cent selling.
Victoria’s vacancy rate stands at 1.9 per cent in November 2018. The
weekly median rent for houses in metropolitan Melbourne dropped
slightly to $458 in November. In regional Victoria, the weekly median
rent for houses remained at $330 per week. The weekly median rent for
units rose five dollars to $425 per week in metropolitan Melbourne and
fell ten dollars to $250 per week in regional Victoria.
In the four weeks to 16th December, the RMX fell by 2.8 per cent to
124.1. The House price index was down by 3.3 per cent to 120.2 in the
weeks leading to 16th December. For units, the index has fallen by 8.0
per cent to 118.6 in the weeks leading to the 16th December.
There were an estimated 6,786 house and unit sales transacted in
Victoria in November 2018, and about 117,006 sales in the past 12
months. Based on these estimates, the share of auctions sold as a
percentage of overall sales was 21.4 per cent in the 12 months to
November 2018.
RMX Growth
The REIV Residential
Market Index (RMX)
for Victoria fell 2.8
per cent to 124.1 over
the four weeks to
December 16. The
RMX House Index has
fallen by 3.3 per cent
while the RMX Unit
Index has fallen by 8.0
per cent.
Clearance Rate
The clearance was
at 49.4 per cent in
November. The rolling
12-month clearance
rate is 61.8 per cent.
Auctions Held
There were 3,528
auctions held and
1,744 properties sold
by auction during
November 2018.
Days on Market
Properties in
Melbourne spent on
average 39 days on
market in November,
two days more than
in October and seven
days more than in
November 2017.
For regional Victoria,
the median days on
market increased to
48 days on market in
November 2018.
Vacancy Rate
The proportion of
vacant properties
in metro Melbourne
was 2.1 per cent in
November 2018, and
1.3 per cent in regional
Victoria.
Economy
Following the Reserve Bank meeting in December 2018, the cash rate
was left unchanged at 1.5 per cent, as it has been since August 2016.
The standard variable rate remained at 5.35 per cent.
According to the RBA, the global economic expansion is continuing,
although growth in China has slowed a little. The Australian economy
is performing well. The central scenario is for GDP growth to average
around 3.5 per cent over this year and next, before slowing in 2020 due
to slower growth in exports of resources.
Growth in household income remains low, debt levels are high and
some asset prices have declined.
The outlook for the labour market remains positive. The unemployment
rate is 5 per cent, the lowest in six years. Inflation remains low
and stable. Over the past year, CPI inflation was 1.9 per cent and in
underlying terms inflation was 1.75 per cent. Inflation is expected to
pick up over the next couple of years, with the pick-up likely to be
gradual.
Prices
In order to gain a better understanding of the Victorian housing
market, an alternative measure of price was proposed using REIV’s
weekly sales data. As transactions are infrequent in certain areas and
there are vastly different property types sold from one week to the
next, the Residential Market Index (RMX) was designed to provide an
indicator of real price change in Victoria. This has replaced the REIV
House Price Index.
While overall property prices in Victoria as represented by the RMX
index and house prices as represented by the House Index have been
mainly stable since July, we have seen a drop in unit prices in recent
weeks.
In the four weeks to 16th December, the RMX fell by 2.8 per cent to
124.1. The House price index was down by 3.3 per cent to 120.2 in the
weeks leading to 16th December. For units, the index has fallen by 8.0
per cent to 118.6 in the weeks leading to the 16th December.
* The RMX provides a current, simple insight into real property
price trends in Victoria. It is calculated weekly based on properties
selling prices during the period and weighted to the total number of
properties in Victoria. The index indicates price movement relative to
the base calculation period of 2016.
Drop in to meet our team and enjoy a coffee in our Raine&Horne Essendon Consulting Lounge!
Located at the Essendon North Village, Raine&Horne Real Estate Essendon, 1134b Mt Alexander Road, Essendon VIC 3040
9374 1111
For the full Research Bulletin and complete Market Overview contact our team, we’d love to talk with you about your needs, goals and how we can best assist you with the property market in 2019!
