Ray White this week released the White Paper which reflects on annual results and reported a total of $4.3 billion in sales across the Group for the month of June 2017.
This result is a 20 per cent increase on last June’s results, which is notable given that June is normally a slower month and there was plenty of distraction last year with the Federal Election.
Here’s what the White Paper had to say about the year that was and the results of the group:
Despite the RBA’s decision to maintain the cash rate at its historic low level of 1.5 per cent in June, many banks reshaped their mortgage products which has the potential to alter borrowing decisions by purchasers. This explains the Ray White Group’s record result for the Group’s Loan Market as purchasers sought more precise information.
The June result was underpinned by particularly strong activity in New South Wales – which recorded $1.3 billion in sales revenue – and Victoria, which produced $606 million this month. The Lower North Shore team alone wrote $120 million in their first month of trading at Ray White.
The Queensland result of $776 million was well up on last year, evidencing a firm trading market, though perhaps without the raw excitement of its southern counterparts. A significant announcement during June was that Andrew McSweeny’s market-leading business in Carina was joining Ray White. South Australia’s results were also up on last year at $147 million. Matt Lindblom says Ray White’s market share hovered around 11 per cent in June, which was 2.5 per cent higher than their nearest competitor.
Trading conditions in Western Australia remain tough, with the total value of sales down on last year despite sales numbers holding up. While the dream of home-ownership can be seen as becoming increasingly difficult in other Australian capitals, particularly Sydney and Melbourne, the Perth market is now the most affordable, especially for first-home buyers.
The commercial team recorded $439 million in sales for the month. Ray White Commercial agent Ben Kirby has just finalised the $380 million sale of the Bakehouse Quarter in Sydney’s inner west.
The Rural network recorded its second strongest month on record, with approximately $150 million of sales for the month. In June, Western Australia’s largest independent rural real estate agency, VNW Independent, also announced their intention to partner with Ray White Rural from July.
During June, Brian White attended the World Economic Forum’s meeting in Gstaad, Switzerland. It was based on the emerging worldwide belief that family businesses are far more important in economic activity than previously accepted. Mr White, who spoke at the conference, said he was impressed by the response of delegates to the Ray White story being a fourth generation family business. He said the message that came through most frequently was of the difficulties and problems in maintaining businesses in a family structure even though, if successful, such wonderful advantages accrue.