Melbourne house prices may be falling but savvy homeowners can still score a good sale, according to industry experts. City. Picture: Jake Nowakowski.
Melbourne’s top auctioneers have revealed how families can turn the city’s collapsing property market into a six-figure windfall, even as a federal budget hit on investors continues to bite.
PropTrack data this week confirmed the city’s typical house is now worth $18,000 less than a year ago and last weekend’s final clearance rate came in at 47 per cent — among the worst since 2021.
But while the Albanese government’s major changes to negative gearing and capital gains tax benefits for investors have made it harder to sell, award-winning auctioneers have revealed exactly what it takes to get your home sold — and why now is the perfect time to do so.
RELATED: Melbourne house prices tumble as tax changes hit property market
Hidden $80,000 cost hitting Aussies building new homes
New Melbourne real estate listings plunge amid falling home prices
Ray White Victoria chief auctioneer Luke Banitsiotis said despite a reduced clearance rate, auctions were still generally delivering better results than private sales — and often got a sale faster, which could be important if prices fell further this year.
Mr Banitsiotis added that selling now and upsizing or even upgrading your suburb could set your family up better financially for the next 30 years of your new mortgage.
“If you sell and buy now, you will have a smaller mortgage than if you wait for the market to improve and rise,” he said.
“Even if that’s only $50,000 or $60,000 less, once you add in the interest, that’s six-figures. What does that look like as an investment with compounding interest for you?”
Ray White Victoria chief auctioneer Luke Banitsiotis says selling and then buying a home in the current Melbourne market can result in a smaller mortgage.
According to PropTrack, Melbourne’s median house price is $984,000 and its median unit price is $623,000.
Mr Banitsiotis said at the moment, Ray White data showed just 28 per cent of private sales across the state were resulting in a deal after 30 days – much lower than the weekly auction clearance rate of 40 to 55 per cent.
A typical pre-auction marketing campaign lasts about four weeks.
Mr Banitsiotis, the 2024 Australasian Auctioneer of the Year winner who’s also taken out multiple Real Estate Institute of Victoria (REIV) Senior Auctioneer of the Year gongs, added that many Melbourne homes were struggling to sell because owners were hoping for higher prices than buyers were willing to pay at present.
Auctioneers are advising homeowners looking to sell to not base their asking ranges on prices which properties achieved six to 12 months ago. Picture: NewsWire/Andrew Henshaw.
Apart from listening to an agent’s advice on pricing, he recommended repainting a residence, installing new carpet and tidying the garden to present a home to its best advantage.
“That can be the difference between selling it for what you were hoping for, and not engaging or connecting with the market and then selling for $50,000, $60,000 or $70,000 less two months later,” Mr Banitsiotis noted.
According to realestate.com.au’s research arm PropTrack, Melbourne’s median house price hit $984,000 last month, an $18,000 drop compared to 12 months earlier.
Apollo Auctions Australasia general manager Greg Brydon recommends, prior to launching a home for sale, vendors should review the abode as if they are selling it, not as if they were buying it again.
Apollo Auctions Australasia general manager Greg Brydon, who won the 2026 Australasian Auctioneering Championships in May, said styling and presentation were “two very big things that will attract more buyers”.
“They will typically generate more inspections, so really high quality photography of a home that is styled and presented well covers certain key factors that buyers look for,” Mr Brydon said.
The Auction Company director Paul Tzamalis said for homeowners, current market conditions made it a gamble for those who refused to budge on price if a buyer offered $20,000 or so below than their asking range — as there was no guarantee another buyer would emerge later.
The triple REIV Auctioneer of the Year winner said it was important to keep in mind that even if a home sold for less than desired, other homes were also being priced lower than six to 12 months ago.
“If your property has come back more, then likely the house that you want to move into or the property you want to buy, has come back as well,” Mr Tzamalis said.
The Auction Company director Paul Tzamalis in action at the 2026 Good Friday Appeal charity auction in Tarneit. Picture: Tim Carrafa.
Ray White Mill Park’s Robert Stambolziev said that a good example of how to approach a sales campaign was a family he had recently worked with in Melbourne’s north.
Mr Stambolziev said in addition to preparing the home itself for sale, they had taken advice to list ahead of spring, when there would be more owners competing for buyers.
Their house sold above the expected price, at an auction attended by five bidders last month.
“They managed to list a couple weeks sooner than they ideally wanted to and they reaped the rewards,” Mr Stambolziev said.
DanDan Zhang and Minke Lu. with their children John, 7, and Ivy, 4, have just sold their Mill Park house. Picture: Wayne Taylor.
Homeowners Minke Lu and DanDan Zhang’s hard work preparing their Mill Park house for sale paid off when it fetched almost $40,000 more than expected last month.
The couple, who live in the residence with their seven-year-old son John and four-year-old daughter Ivy, plus pet dog Loki, spent a month getting the property ready to be listed.
After they first met with Ray White’s Robert Stambolziev, they painted some of the walls, covered their garden beds with tanbark and fixed their garage door, which had not previously been working.
Decluttering their personal items was another important step.
“We emptied the house,” Mr Lu said.
“We told that our children that we were moving and we needed to keep the house nice and clean because people would be visiting.”
The family, with their pet dog Loki, spent a month preparing their house to be listed for sale, including decluttering and painting some interior walls.
In addition to “one big clean up” before their first open home, they tided before every inspection.
Mr Lu said their family was nervous before their home’s auction, which took place in June, but were very happy with the outcome after five bidders competed for the keys.
The residence sold for $838,000 compared to their circa-$800,000 price hopes.
Mr Lu said he believed their efforts to ready the home for sale had contributed to the result.
And from a buyer’s perspective, he is hoping home Melbourne prices continue to decrease in the future.
But he said that naturally, it would be different if he and Ms Zhang decided to sell the next home they purchased.
PropTrack is expecting more than 620 auctions across Victoria next week. Picture: Alan Barber.
TIPS TO GET YOUR HOME SOLD FAST
+ Be realistic on pricing. Consider adjusting the asking range if market feedback indicates it’s too high;
+ Styling and presentation are key to attracting more buyers to your inspections, and building emotional connection — most real estate agencies will be able to organise professional styling;
+ Choose a neutral colour palette with hints of greenery such as small plants (fake is fine) and a bowl of fruit in the kitchen;
+ Don’t buy expensive items or furniture, look into renting items, scour online market places or try department stores;
+ Swap out dark-coloured curtains for light-diffusing ones;
Landscaping the garden is one tip for sellers hoping to make their home stand out from the competition.
+ Landscape the garden, or at least prune, mow the lawns and remove weeds;
+ Invest in new carpet or flooring;
+ Repainting inside is a good idea, even if it’s not every room;
+ Find your inner Marie Kondo and de-clutter, especially personal items, then keep the home tidy;
+ Let in the light. Open the blinds and curtains, and make sure all the lightglobes work;
+ Mirrors can help make a space feel bigger.
+ Clean the windows, remove cobwebs and water-blast the driveway;
+ Complete minor repairs such as leaking taps, noisy hinges, damaged skirting boards and cracked tiles.
Keeping an eye on older home listings, in case they reduce their asking price, is a smart idea for buyers in the current Melbourne market.
HOW BUYERS CAN CASH IN
+ Be prepared to buy now. No-one knows when prices are going to rise or when interest rates will go up;
+ Tell agents what kind of home you’re looking for and your buying timeline, so they keep you in mind for off-market opportunities;
+ Remember that if you’re the highest bidder, you’ll get first rights to negotiate with the owner if a home passes in at auction;
+ Show up for auctions even for residences you think you might not stand a chance on – you never know what will happen;
+ Some homeowners are reducing asking ranges a couple of weeks or more into their sales campaigns, so keep an eye on older listings.
Sign up to the Herald Sun Weekly Real Estate Update. Click here to get the latest Victorian property market news delivered direct to your inbox.
MORE: Landlord slams ‘broken’ Vic rental system over loophole
English (US) · 