With limited stock and first home buyers flooding the market, agents are increasingly opting to take homes under the hammer, according to a chief auctioneer.
Ray White Victoria corporate auctioneer Jeremy Tyrrell said the beginning of 2020 has sparked a positive forecast for the remainder of the year.
“This year is one of the most exciting years I’ve seen in a long time, and I think that’s got to do with a few things – we are just starting to settle down after 2019, our lending is a lot more accessible and I don’t think we’re seeing the volume that we’d normally see at this time of the year,” Mr Tyrrell said.
“There’s a lot of buyer confidence out there as prices continue to rise – it’ll give owners a lot of confidence to go to the market and really get some good outcomes.
“Considering these factors, I think we’re in for a good year of growth, and I think the numbers will steadily build.”
The First Home Loan Deposit Scheme is also set to evoke both momentum and competition, according to Mr Tyrrell.
“I think that first home buyers are heavily engaged with the government incentives, and that’s another reason why the markets are strong,” he said.
“They’re incredibly active, and I think that they’re very keen to take advantage of the government incentives on offer.”
To take advantage of the current conditions, Mr Tyrrell said agents are “relying heavily on auctions”.
“We’re definitely seeing a lot of success through the auction process, and that’s simply because it is highly competitive out there, and so when you have a highly competitive marketplace that really doesn’t have the supply of properties, auction is still the preferred method to get the best outcome,” he said.
“With the Australian elections over and new first home buyer schemes available, I think 2020 will usher in a lot of positive growth for the market.”