Ray White Victoria and Tasmania capped off 2020 with an all time record in December, as the market fired back to life after the extended lockdowns in Australia’s auction capital.
Australasia’s largest network sold more than 1,210 homes for $840 million in December across Victoria and Tasmania, on the back of a record November where 1,143 sales were finalised worth $816 million. These are the most successful results ever across Victoria and Tasmania for Ray White, Victoria’s largest real estate brand, showcasing the excellent market conditions.
The auction clearance rate stood at 78 per cent for the month of December in Melbourne – five per cent higher than last year, from 493 auctions conducted.
Ray White Victoria and Tasmania CEO Stephen Dullens said December was not traditionally the strongest real estate month of the year given the break for Christmas.
“Despite the lead up to Christmas, Victorians, and Melbournanians in particular, have certainly made up for lost time as restrictions eased. The year we’ll never forget, 2020 finished with record-breaking buyer metrics too, such as loan pre-approvals, open for inspection numbers, registered auction bidders, online enquiries and so on.
“These metrics continue to give us confidence that the current extraordinary momentum should endure well into 2021, especially as the Reserve Bank of Australia continues to forecast very low interest rates for at least the next three years.
“I am so proud of the way our members adjusted at speed to the new normal operating environment last year. The embrace of new technology to conduct digital inspections, auctions, and document execution ensured we put our customers in the best position to take advantage of market conditions, and it resulted in enhanced customer experiences and business efficiency,” Mr Dullens said.
“The future was quickly brought forward, and we are well placed for more innovation in the year ahead.”
The Victorian government also announced discounts to stamp duty in the 2020-21 budget.
Up until 1 July 2021, new and off-the-plan properties will see a 50 per cent waiver on stamp duty, and established property will see a 25 per cent discount. These stamp duty discounts will be available to both investors and owner occupiers, and the threshold for discounts is on properties up to $1 million. The relatively short time frame on this policy is likely to bring forward property purchasing decisions, concentrating housing demand over the next six months.