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Looking beyond latest auction figures

With the Melbourne real estate market scheduled to conduct over 1100 auctions this weekend, the largest number of property auctions in over a year, it was interesting to read some statistics that were published this week regarding the performance of property auctions in recent months.

In case you missed it, the analysts at Domain released some data suggesting that Melbourne’s median auction price has risen by $100,000 in the space of a year. They found that the three-month average median for houses sold at auction was more than $1.01 million compared with close to $909,000 over this period last year. In fact, Domain found that the three-month average median auction price for houses topped $1 million back in November, as soon as we emerged from the lockdown, and has stayed there ever since.

Because this median price is clearly above the overall Melbourne median house price, which is in the $900,000’s, a lot of homeowners have been asking whether this means an auction will automatically get them a better result…but it’s not quite as simple as that.

First and foremost, you need to keep in mind that the higher median price at auction can be affected by the properties and areas that are more likely to use an auction. There are certainly some areas of Melbourne where average prices are lower that are also less likely to use auctions.

Yes, a competitive auction can be a terrific way to maximise the sale price of your property when you sell. However, not every property nor every area is suited to an auction campaign.

This is where getting the right advice from an experienced real estate expert is so important before you decide on the methodology of your sale. Here at Barry Plant we can offer you not just a choice of auction or private sale, but we also have our unique Sale by Set Date® approach which has elements of both strategies.

The simple fact is that there is no “one method suits all” when it comes to selling your most valuable asset. Therefore, if you are considering making a move this Autumn, and would like some experienced and objective advice on how to maximise your result, be sure to give the team at Barry Plant Cranbourne a call this week on 5990 9400.

Best wishes,

Barry Plant Real Estate

Cranbourne & Frankston