Teamwork Brings Rewards – Mentone / Chelsea Team Noosa Trip

Kristy Wilkins – Property Consultant

After two tough years riding out the storm of the COVID pandemic that saw staff forced out of the office and into the sometimes-lonely environment of working from home, the Hodges Mentone/Chelsea team reunited to reconnect in style in beautiful Noosa Heads.

As a way of acknowledging the challenges of this extraordinary period, the trip was an opportunity for us to bring together both the sales and rental departments in order to understand and identify the different strengths each staff member brings to the team and provide support for any areas of growth.

Where better to really get to know one another than under the warmth of the Queensland sun where we had a chance to take part in team building activities that took people out of their comfort zones with the goal of better preparing them for their day-to-day tasks and valuable interactions with clients. With time to relax, bond and soak up some sun, this short but sweet trip was a huge success, made possible thanks to the generosity of our directors and sponsors.

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Sales Report

Mark Kosch – Property Consultant / Auctioneer 

From Cheltenham to Carrum and Patterson Lakes, we have seen a traditional winter slowdown of the real estate market with a reduction in the numbers of listings & sales and some challenges in the market overall.

Some of the factors affecting the overall market have been the increase in inflation, reduced consumer confidence, increased costs for building/renovation projects with the main headwind being the increased rates by the RBA. Over the 3 months of winter the interest rates have increased 1.5% after a 0.25% increase in May which has simultaneously reduced borrowing capacities and confidence from buyers in the market. This has dampened interest in any home that isn’t perfect however homes that are walk-in ready are still selling well.

Following the 25-30% increase in prices over the past 12-18 months, the winter quarter has seen prices reduce between 5-10% depending on the property itself with buyers becoming much more price sensitive. Having said that, over the past 2-3 weeks we have seen throughout our ‘open for inspections’ an increased number of buyers through the doors, which has translated to sales and indicates that buyers have begun to see value again.

With the start of Spring upon us, we anticipate a more traditional selling season with both an increase in listings and sales. We feel that we will be in a more stable market with good quality homes selling well and any 2nd tier properties needing to be priced appropriately in the price-sensitive market we are currently in.

Mark Kosch 

mkosch@hodges.com.au
0438 693 332

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Core Logic Property Pulse Spring Special

The Long Game…30 Years of Housing Values 

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Australians are becoming more likely to hold onto their residential properties for longer in the current market. According to the The Economist from the CoreLogic Spring Edition Property Pulse, Australia’s median hold period (i.e. the number of years between individual home sales) was nine years for homes sold over the past 12 months. While the short-term trends are prominent in today’s media, it is important to refresh our readers on the significant change of housing values over the past 3 decades.

We have seen several cycles in the housing market over the past 30 years, these cycles include but are not limited to the taxation policy, monetary policy decisions, economic shocks, fiscal stimulus and broader economic conditions.

“Nationally, dwelling values have increased 382% over the past 30 years, or in annual compounding terms, rising by 5.4% on average since July 1992.”

Undeniably, the long-term trend over decades is considerably upwards proving the changes in housing values to be a clear reminder that time in the market is more important than timing the market.

 

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Hodges Leadership Award – Taya Davidson 

Taya Davidson – Rental Department Manager / New Business Manager 

The Hodges Group is proud to host an annual awards night recognising the stellar efforts of our many employees, and our very own Taya Davidson deservedly took home the ‘Hodges Leadership Award’.

Taya provides skilled guidance and support to the Mentone team and also gets very involved in the department’s day-to-day responsibilities. As a result, she believes her team are happy to come to work as they know they have the systems and framework in place to be able to do the very best job they can.

Given access to innovative software and comprehensive training, Hodges Property Managers also can utilise a library of online reference material along with virtual administrative support to ensure that they are able to focus wholly and solely on their portfolios.

Honoured to lead a cohesive team who will always offer help when and where it is needed, Taya can see that the staff are at their very best when they work together towards the common goal of being the best Property Management Team in their region.

Taya Davidson 

tdavidson@hodges.com.au
0414 276 616

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Commercial Property Report

Paul Johnston – Director / Commercial 

The bayside commercial sales market still remains fairly tight, with a shortage of listings coming to market, due in part to investors holding on to their commercial property as yields have been stronger than other investment alternatives. A recent large portfolio auction across the eastern states achieved yields ranging from 4.40% at the lower end and 6.05% at the higher end, with the tabulated average yield recorded at 5.52%. This accords with our local observations as investors are generally looking for solid tenancies or investments in premium locations. We presently have a number of tenanted and vacant commercial properties for sale and welcome enquiries from interested parties.

Our local commercial bayside rental market has seen an increase in the number of shops becoming vacant. However, interest from new tenants has been high and we have seen most properties letting quickly if priced correctly, without the need for overly generous rental incentives such as rent-free periods. In our Chelsea market we recently had five retail outlets become vacant, however three are already under offer. The retail vacancy rates in Mentone, Parkdale and Mordialloc also remain extremely low, while the industrial areas from Cheltenham to Seaford remain tight. Unlike some areas, commercial and industrial properties in the bayside suburbs have continued to perform well which is great news for local investors.

If you are looking for an investment or development commercial property to purchase please visit our website or give Paul Johnston a call

Paul Johnston

pjohnston@hodges.com.au
0419 582 035

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Employee Spotlight – Michael Hall

Michael Hall – Licensed Estate Agent / Auctioneer

Real estate stalwart Michael Hall has tried his hand at many things over the years, but it was his unwavering passion for people and property that saw him return to the property industry in 2014 after several senior positions in Australia and overseas.

Looking back to where it all began, Michael’s story is as fascinating as it is varied. His love affair with all things real estate began way back in 1978 at National Real Estate in Glen Waverley. Taking to the role like a duck to water, it wasn’t long before he had procured his own agency which quickly grew to four Judd Real Estate offices with 55 staff members.

Eventually, Michael – also a licensed pilot – accepted a role as CEO for an Aerospace company which allowed him to visit countless, enviable locations around the world, including multiple countries in Europe and Asia plus numerous Australian destinations.
Thankfully for us at Hodges, Michael’s love for real estate saw him return to the industry where he has remained ever since!

In addition to being a valued member of our Mentone/Chelsea team, Michael has spent time as a senior lecturer at the REIV (a role he hopes to reprise soon). He has also enjoyed many years as Collingwood Football Club’s main auctioneer, and has conducted many charity auctions at the War Memorial in Canberra, having been a member of the Army Special Forces for over 10 years.

Locals are invited to watch Michael in action on September 21, when he will host a seminar on the all-important topic of downsizing at his beloved Chelsea Longbeach RSL. For more information, or to speak to Michael about selling your home, please call our office, or Michael directly.

Michael Hall

mhall@hodges.com.au
0434 862 640

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RUOK Day – Hodges Serving the Community

Mark Pearman – Licensed Estate Agent / Mentone Office Manager

Head to one of several local cafés on Thursday September 8th and enjoy a cup of coffee on us – all for a good cause!

In support of RUOK Day – and specifically the Dancing with the Black Dog initiative – all members of our sales team will be donating 100 cups of coffee each through a café of their choosing. Hodges will provide stickers promoting D.W.B.D along with flyers encouraging people to ask a friend for help or to talk to someone if they’re not feeling ok.

Over 1800 cups of coffee are expected to be donated by our office on the day, with all money raised going toward Dancing with the Black Dog, a not-for-profit mental health charity which promotes the message that ‘It’s OK to Say if You Don’t Feel OK.’

One of a number of initiatives that Hodges Mentone/Chelsea is proud to support, D.W.B.D has so far raised over $30,000 for the mental health charity Beyond Blue.

Taking part in this great cause saw Hodges Mentone/Chelsea take out the 2022 Community Service Award at its recent awards night. A big thank you to all for taking part!