It is amazing what a pandemic does to a property market! From my readings this weekend, I noticed that Sydney auction clearance rates had risen 67% to 72% in the last week – normally the sign of a fairly strong market.

The Victorian market has suffered however, with auction clearances rates going from 64% to 51%. We might all be asking ourselves the question: “is this the sign of things to come or is the effect of the COVID shutdown in Melbourne temporary?”

As most of us know, traditionally the Spring market kicks in in about September and normally represents a time when we can assess how individual markets are faring. It still appears from the clearances rates that there is built up demand for property even though we are in the middle of a pandemic. The reality is, that where you live may become more important than it previously was given the fact that we are spending so much time inside our own homes now.

With the ever-increasing population in Australia, who knows if the current pandemic may result in a property boom when we come to the end of the COVID crisis. The truth is, we will all need to live in residential property albeit there may be different demand depending on what state you live in.

Commercial property tends to be aligned to business circumstances and with the amount of people working from home these days, it will be interesting to watch what happens over the next few years with it.