The Melbourne property market has certainly seen better days. Most real estate agents are struggling to clear properties as people are looking but not buying.
According to RP Data, during April, Melbourne houses were discounted by an average of 6.9 per cent from their initial asking price ito help achieve a sale. Melbourne units and apartments were discounted by 5.7 per cent.
Toorak properties required the most significant discounting in the year to March, with an average reduction of 12.5 per cent. Other suburbs with the highest vendor discounts include Dandenong, Box Hill, Blackburn, Lalor, Hawthorn, Balwyn North, Carrum, Glenroy and Nunawading.
Despite these news, the amount of rates that Melbourne property owners are expected to pay in the coming year is going up.
Ratepayers across Melbourne are facing rate rises well in excess of inflation as councils struggle to absorb rising costs and state government taxes.
Suburban council rates will jump by an average of 6 per cent this year, according to the Municipal Association of Victoria, which is collating councils’ draft budgets.