Local Market Update

The completion of June also saw the end of the financial year and the team at Ray White Cranbourne have enjoyed a very busy and very productive end to the year. This time of year can traditionally be a quieter month as the colder weather kicks in, however this year June has been far from quiet for the team.

The lowest interest rates we have seen in living history have been very good for the market and local activity. The other major contributing factor was the change in the first home buyers grant. The end of June saw the grant change its focus from established homes to newly built homes and so we saw many buyers taking advantage of this in the last days of June. This also tied in with the benefits available with the stamp duty reductions for first home buyers too.

June saw the team busy right up until the last day of the month, with sales numbers almost reaching 40 for the month. It was a very steady month, with even contributions from all in the team. Denis Hennequin enjoyed one of his busier months and so did Peter Khamis, with solid and consistent results from the Ringeri and May teams as well. The listing side of the business was definitely a little slower with less than a listing per day. This was on the back of two strong listing months but was indicative of the market overall with a real shortage of new stock available. Our average days on market for the month hovered around 50 days for the month with a number of older listings selling during the month, having an effect on this average. We are seeing a good number of listings coming to the market and selling quite quickly but others sitting on the market for a considerable time. Pricing of properties in the current market is still a critical factor to selling in a reasonable time frame.

The rental department also experienced a busy month with a definite change from the early parts to the later parts of the month. The early parts of the month saw a stock shortage but as we gathered new stock and started advertising, our open home and lettings numbers increased quickly. We listed 19 new managements into the office for the month, with almost 50% of these being generated from the sales team. Smart investors are taking advantage of the low interest rates and the good number of quality tenants in the marketplace at the moment.

Overall we are enjoying a much more confident marketplace with buyer and tenant numbers still strong and a shortage of new stock coming to the market. This should bode well for the future for both vendors and landlords with less choice and more competition for quality homes.

This month also saw the anniversaries of Paul May, 4 years, Matt Ringeri, 5 years, and Bridget Speak, 2 years. Congratulations to you all and thank you for your contributions over the years.

Until next month,
Mark Guthrie CEO Ray White Cranbourne