Melbourne auctions: Online buying still taking place at first auctions back

Just over half of the small volume of homes scheduled for auction found a buyer this weekend, as Melbourne’s on-site auctions returned for the first time in almost two months.

There were only 79 auctions set to go ahead in Melbourne on Saturday, one of the quietest auction weekends yet, outside of traditionally slow holiday weekends. The third Saturday in May last year had 358 auctions, despite being an election day, with more than double that amount held the week after.

By evening, Domain Group had recorded a preliminary clearance rate of 52.9 per cent from 49 reported results.

A townhouse sold to an online buyer, despite rules changing to allow bidders to contest auctions in person.

The auction for the three-bedroom home at 7/83-89 High Street Road, Ashwood, saw buyers turn up, but Belle Property listing agent Toby Parker said it wasn’t a surprise the winning bidder was watching the live-stream.

SOLD - $830,000

7/83-89 High Street Road, Ashwood VIC 3147

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It was one of the first auctions to go ahead since Premier Daniel Andrews announced he would allow auctions to return in the first loosening of coronavirus restrictions since March.

“The auction had it all, didn’t it. It had online bidding and all the registered buyers turned out,” he said. “The online person ended up buying it. It was not a surprise.

“[The current arrangement] brings the best of both worlds.”

The online bidder and eventual buyer placed the first genuine bid of $790,000, just above the bottom of the quoted price range.

Bidding was slow, with four parties in total taking part in small increments.

The home sold at the top of the range, at $830,000.

Earlier in Thornbury, a family home sold to upsizers for $1,615,000.

SOLD - $1,615,000

4 Ethel Street, Thornbury VIC 3071

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McGrath Northcote’s Gino De Iesi said only one person bid for 4 Ethel Street, despite three registering and attending the auction.

It was passed in at $1.57 million, and sold later beneath the top of the quoted price range, which was $1.62 million.

Mr De Iesi said the vendors were pleased with the price for the four-bedroom home, and to pass the home on to another family.

“They were rapt. They got their terms and a young family got it,” he said.

Mr De Iesi said the sale within the price range was normal for the coronavirus-impacted property market.

“It’s not necessarily a bargain, but you’re not paying 10 per cent premiums either,” he said.

In Ascot Vale, a double-fronted home sold within its quoted price range too.

SOLD - $1,625,000

29 Sydney Street, Ascot Vale VIC 3032

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The four-bedroom house at 29 Sydney Street had another drawn-out auction, Wakelin Property Advisory director Jarrod McCabe said.

“One of the bidders was leaving the agent hanging, waiting until the third call and then the next bidder would just go right away,” he said.

The auction started at $1.51 million, but the house sold for $1,625,000 eventually. The top of the range was $1.65 million.

“Price-wise, it’s below what it would have been in February but it’s still a nice result,” Mr McCabe said. “There was still interest there, it’s a good-sized family home with a very attractive facade.

“To see a bit of competition, you’d be over the moon as a vendor.”

Mr McCabe said he wasn’t sure the property market would spring back as the restrictions were gradually lifted.

“It’s definitely weaker. There’s not the same level of depth there,” he said. “A lot of the buyers that are here at the moment were here before COVID, and if new people come in to replace them, that will determine if the market drops further or not.”