Sales in Newcastle were down by a massive 85% in July, compared to the same month last year. This is a staggering decrease in sales volumes which is causing enormous problems for agencies which sell average suburban properties.
Luxury Home prices have remained steady although the practice of real estate agents overpricing property is alive and well. We are continuing to receive calls from vendors who have had property on the market for months with local Newcastle agents who had originally priced their homes 20-30% above market value. I have also noticed that many Newcastle agents are auctioning homes that have overpriced and been unable to sell in the hope of “conditioning” vendors to decrease their asking price.
In a city where auction clearance rates are not measured by RP Data as they are statistically unreliable, I am stunned that agents are advising clients to auction their homes. Marquette Turner Luxury Homes specialize in the sale of properties above $1 million and we understand the specific and small target market for Luxury properties.
With only 3.65% of all residential homes in Australia selling at or above $1 million in 2007 the prospect of a competitive auction in a regional city for a Luxury Home is very slim. Employing a specialist Luxury Agent is essential to achieve the best result in selling your Luxury Home whether in a regional or metropolitan area.