Benn Dorrington, Industry Editor and Analyst
First published 12 Oct 2026, 3:55pm
A townhouse auction in Melbourne's leafy southeast gained $95,000 over its reserve price after revealing its reserve early to buyers, ahead of new laws taking effect within days in Victoria.
The townhouse in Mount Waverley advertised a $1.325 million reserve price ahead of its auction held last Saturday, attracting three bidders on the day before selling to a first-home buyer for $1.42 million.
The positive auction result is an early sign of optimism for home sellers and real estate agents in the state, who are facing sweeping property price law changes, including publishing reserve prices seven days out from auction day , taking effect from 16 October.
The Mount Waverley townhouse sold under the hammer for $1.42 million. Picture: realestate.com.au/sold
Across Australia, there were 1,524 homes scheduled for auction last week, recording a preliminary national clearance of 41.2%, according to realestate.com.au.
However, greater Melbourne's clearance rate came in higher at 52.9% out of 529 auctions.
Property market conditions have been softening nationally since the Reserve Bank started increasing interest rates , and the federal government overhauled negative gearing and capital gains tax rules for property investors.
The property : The four-bedroom, three-bathroom townhouse at 1/61 Hillview Avenue, Mount Waverley sold at auction for $1.42 million on Saturday October 10.
The stylish and low-maintenance family home sat on a 313 square metre block, with front and rear gardens.
Suburb profile : Mount Waverley is situated in Melbourne's southeast, located about 16 kilometres from the CBD.
Auctioneer Daniel Galea (front) with the vendors and successful buyers from the Mount Waverley auction. Picture: Supplied
The suburb's median house price reached $1.56 million in September, down 5.7% compared to the same time last year, according to realestate.com.au.
Auctioneer Daniel Galea of Ray White Judd White Group oversaw the campaign and spoke to realestate.com.au about the result.
Most of the market really appreciated the home's style, and responded really well to the floorplan flow and the little luxury extras that it came with.
Three bidders competed for the stylish townhouse on auction day. Picture: realestate.com.au/sold
The property was well connected to the local train station, just at the end of the street about 700 metres away, and there was easy access to schools by bus.
It attracted families looking for that convenience, as well as downsizers wanting something a little easier to work from.
It had two master-bedroom options, downstairs and on the first floor, and great open plan living for a townhouse.
It was a campaign you could have picked up and put into the boom of last year.
A large living room flowed through to the dining area and expansive kitchen. Picture: realestate.com.au/sold
Our midweek opens were reasonably quiet, but the market used its time very efficiently on Saturdays.
We had over 60 groups come through throughout the campaign, with a really mixed demographic, from young first-home buyers to downsizers from surrounding suburbs.
We had six registered bidders in the end, and three were active. It started at $1.1 million, which was a cheeky opening bid, and slowly climbed to $1.25 million where I paused to reflect with the owners.
The bid was in line with the feedback but lacked a little energy. Then the bidding moved to $1.325 million, where I paused again, and the owners made a very small adjustment and gave me permission to announce that it was on the market.
The kitchen was finished with stone benchtops, extensive cabinetry and European appliances. Picture: realestate.com.au/sold
Once it was on the market, it started to gain momentum. It was a fight between the initial bidders, but as I was almost about to sell at about $1.36 million, a third contender came in with a late strategy.
The opening bidder dropped off, and the two first-home buyers went head-to-head. It was a marathon auction of over 60 minutes, and in the end the property sold under the hammer for $1.42 million.
Both couples had a lot of family with them, helping them on their journey. There was a lot of emotion, but also a lot of respect.
There were four bedrooms spread across both levels. Picture: realestate.com.au/sold
They gave it their absolute all and it was a really wonderful reflection for the owners of how important it is to listen to the market and their best buyers.
It was the last weekend [before the new laws start] and technically we weren’t required to provide auction disclosure.
The home came with a central bathroom and two ensuites. Picture: realestate.com.au/sold
However, my conversations with the client were that we should be proactive in counselling people’s perceptions.
The owners said their reserve would be within their marketing arrangements and the feedback provided, so I was able to promote that level of transparency to the buyers, and I think people appreciated and valued that.
I’ve always been a big advocate for transparency.
You don’t need to manipulate the facts and details; you can focus on what is driving the owners and the buyers, and help buyers make a decision that is right for them and their family.
The home had private dual garden zones on its 313sqm block. Picture: realestate.com.au/sold
In this case, the sellers’ motivation was clear, and they were willing to roll the dice at a level that made sense to them. That let the natural competition between motivated buyers play out.
In the City of Monash, we’ve had 22 auctions scheduled in the last eight weeks and sold 18 under the hammer.
We’re finding that owners are genuine about wanting a sold result, while pre-approved buyers are ready to put their hands up at auction.
We feel there’s a healthy turn in the market and that we're going to see some more consistency. We've certainly already seen it as a team over the past couple of weeks, so we feel that the numbers will start to come back in favour of auctions soon.
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