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Melbourne lockdown: Petition urging real estate to reopen takes off

Real estate agent on reopening

Ray White Werribee director Michelle Chick says the real estate industry just needs to be able to run private inspections to function. Picture: Jay Town

More than 1600 people have signed a petition that calls for Melbourne’s real estate sector to be able to reopen, arguing waiting several more weeks as the government plans will “cripple people financially”.

The petition on the Parliament of Victoria website states the “requirement to find a home is unquestionably essential”, and that both agents and consumers are desperate for physical one-on-one inspections to be allowed again.

It urges the state government to work with the Real Estate Institute of Victoria to “create and implement a COVID-19 Safe Plan” for reopening the sector and running private inspections.

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This could include checking the temperatures of prospective buyers and tenants upon arrival at homes, sanitising door handles and surfaces, enforcing social distancing, and recording attendees’ contact details to lodge with the Department of Health and Human Services.

The petition said waiting until October 26, as the government planned, to revive the crucial element of the selling and leasing processes would “cripple people financially”.

“Those who have purchased and need to sell, and those who’ve been evicted due to landlords returning to occupy and cannot inspect a new rental home, have been burdened by the COVID-19 restrictions,” it said.

Signatory Frank Valentic, director of Advantage Property Consulting, said his business alone had about 25 would-be vendors “hurting” from being prevented from listing now-vacant investment properties, and 20 buyers ready to pounce but unwilling to purchase without physically inspecting homes.

“I, myself, have sold to downsize, and I can’t get through any properties to buy my next home,” he said.

“There are lots of people in my shoes. It’s pretty traumatic for older people who have sold long-time homes (and) young families.”

Home Truths portrait of Frank Valentic

Buyer’s advocate Frank Valentic says real estate’s continued closure hurt dozens of associated industries as well.

Those who had already bought new properties but couldn’t sell their old ones were also at risk of being unable to settle on their purchases and losing their deposits, Mr Valentic said: “Daniel Andrews said he wouldn’t stop people from settling, but he is.”

The people working in the many real estate-associated industries were essentially out of work until the sector could reopen, he added, including conveyancers, and photographers and stylists, who were banned from attending properties under stage four restrictions.

“Real estate is an essential service. And we’ve never had any cases of COVID-19 (from real estate activity),” he said.

“The main thing we need is getting one-on-one inspections back, nothing else really needs to happen.

“No one is going to buy without inspecting a property, unless they’re really desperate. People aren’t going to spend hundreds of thousands or millions of dollars and risk buying a lemon they’re not happy with.”

Case study: seller left in limbo

Lyn Davenport and her 12-year-old daughter, Grace, sold their Mornington home in between Melbourne’s two lockdowns but now can’t inspect rentals to move into due to the ban on physical inspections. Picture: Alex Coppel.

Ray White Werribee director Michelle Chick agreed Melbourne’s real estate sector really only needed that one little freedom to save hundreds of homeowners and tenants from financial and mental stress.

“Everything else, we can do virtually — appraisals, listing appointments, signing any documents. We’ve had a lot of success with online auctions,” Ms Chick said.

“We just need that final piece of the puzzle.”

Ms Chick said buyers were embracing online auctions, with Ray White Group running more than 700 of them since COVID-19 restrictions first started in March. But the vast majority were unwilling to commit to homes without “being able to walk through to feel, touch, smell and get to know the property”.

“Some have had to move on for financial reasons, or to get into school zones for their kids,” Ms Chick said.

“People are having to put plans on hold, which is causing a lot of stress, financially and mentally.”

This included clients of hers who needed to move to get their special needs child into a particular school.

“Their house is sitting there on the market. We have 3D virtual walk throughs online, and we’re doing walk throughs with vendors … via Zoom. But buyers are still waiting to go through,” she said.

28 Twin Creek Court, Sunbury sold sight-unseen during lockdown for $999,995.

Ms Chick said her agency would ensure its inspections were COVID-safe by allowing only one agent and one prospective buyer or tenant to attend, providing masks and gloves for both to wear, checking temperatures, carrying out deep cleans on homes, enforcing physical distancing, and record keeping to allow for contact tracing.

The Real Estate Institute of Victoria is campaigning for private inspections to resume as

part of the second step on the state government’s road map to reopening, due to start September 28, rather than the third.

Victoria will need to record fewer than five daily coronavirus cases over the two weeks prior to October 26 to reach the third step, at which point “outdoor auctions subject to gathering limits” will also be allowed.

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samantha.landy@news.com.au

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