Market Comment – Monday November 24th 2008

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It was hit and miss this weekend. With the cold and rain putting a dampener on people’s spirit (and wallets) the clearance rates were again at a low of 53%. Across the board this week there were sales and properties passed-in in the under $500,000 home buyer range, sales in the $500,000 – $1m upsizing range and million dollar plus range. We do however note that for the third week in a row there was an increase in total sales.

Not unusually we opened the paper this morning to numerous pass ins in Brighton, Albert Park, Kew and Glen Iris among many other top end areas. What was slightly different this week was the pass ins in Elwood, Brunswick, Preston and Moonee Ponds, again among others. The latter suburbs are areas prominent with units and apartments and medians around the $500,000 – $700,000 range, which were yet to be hit too hard.

Saying this however it shows that we are still in a buyers market. Unlike this time last year when you would go to auction and stand there with your hand up until you had beaten other potential purchasers off or ran out of money, we are now seeing a lot more negotiation after the auction. Coming up to Christmas, even more properties will be negotiated at prices that will be dependent on financial circumstances of the buyer and seller rather than on what the property is necessarily worth.

If you are thinking about buying either now or post Christmas why not come in for a no obligation chat about what we think the market is doing and how we may be able to assist you.

Courtney James

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About the author

Ian has been operating his own businesses for more than 25 years. During this time the self taught lessons of building the business, dealing with staff, suppliers, clients and economic woes have been invaluable. Ian is a fully licensed Real estate Agent, a member of the REIV and registered with the Business Licensing Authority.

Buying property is not just sticking up your hand and outbidding your rival. It is an emotional, fiscal and psychological decision that needs to be planned and well executed. Ian is usually involved in over three hundred property negotiations per year; ranging from the $250,000 first unit purchase for a young couple to multiple million dollar residential developments. Ian's business background and endless numbers of negotiations make him one of the industry's leading negotiators.

Ian is married with two adult children, living in Patterson Lakes. He is a keen fisherman when weather and business allows the time.

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