26 October 2019

Saturday was the first test of the rising Melbourne market under the pressure of volume and, in general, it held up surprisingly well.

We feel the ‘in demand’ quality homes, such as well-located single-storey homes, downsizer homes, large family homes and fully renovated homes are still in low supply, helping fuel strong prices for the ‘A’ graders.

Homes on the weekend that fell into this category generally sold well, if the vendor expectations were still fair.    Interestingly, we are starting to witness a number of vendors whose expectations are well above the peak of 2017.

An example of this was 44 McKinley Avenue Malvern.  It sold in 2017 for $3.19 million on 24 June 2017 and auctioned again on the weekend.  Quoting $3.1-3.3 million, competitive bidding saw the buyers take the price to $3.31 million before it passed in.   This is a figure 3.5% higher than that achieved in 2017.  The asking price is now $3.45 million.

With the countdown now on until Christmas, there are only seven key weekends left for 2019. If the right property is not out there, buyers may need to consider a new strategy to carry them into 2020.  We see too often at this time of year buyers making emotional decisions, rushing to buy anything so they can start the year afresh, only to find the home not ticking the key boxes and the homes presenting for sale again within a year or two.

Highlights:

  • 25 Kooyongkoot Road Hawthorn (Scott Patterson/Judy Balloch, Kay & Burton) – approx. 1254sqm land, a comfortable storey period home, however, really ready for the next update, quoted $7-7.7m, sold under the hammer for an undisclosed amount under $8.2
  • 12 Wingan Avenue Camberwell (Nick Whyte, Nelson Alexander) – approx. 602sqm backing onto the park, original home, predominantly land (stca), quoted $1.5-1.65m, sold for an undisclosed amount in excess of $2.1m
  • 5 Milton Street Camberwell (Hamish Tostevin/Désirée Wakim, MarshallWhite) – functional family home saw five bidders push the price $500,000 over reserve, selling for $3.85m
  • 5 Henry Street Highett (Paul Sibley/Natalie Alesi, Buxton) – modern family home nestled between the railway and the highway, quoted $1.7-1.8m, sold before auction for $2.07m
  • 90 Stanhope Street Malvern (Adam Cashmore/Mark Sproule, The Agency) – the large renovated family home was well attended at the Thursday evening auction.  Quoted $4.8-$5.28m, three bidders pushed the price above $5.5m
  • 12 Fawkner Street South Melbourne (Justine Harris/Mark Wridgway, RT Edgar) – approx. 334sqm, south facing rear has sold after nearly 200 days on the market for $2.65m or $7,934sqm

 

“Off-market” Properties

  • Townhouse, 2 bed, 2 bath, 1 OSP, rooftop terrace, South Yarra – circa $1.7m
  • Federation with modern extension, 4 bed, 4 bath, DLUG, Glen Iris – circa $5m
  • 2 street frontage, no heritage, approx. 770sqm, Elsternwick – circa $3.3m
  • Period front, modern rear, 4 bed, 3 bath, approx. 943sqm, Kew – circa $3.5m
  • Modern upside-down home overlooking park, Prahran – circa $3m
  • Period home, original condition, no Heritage overlay, approx. 815sqm, Kew – Circa $2.7m
  • Freestanding townhouse, recently updated, Brighton – circa $1.85m
  • Single level villa between beach and shops, Hampton – circa $1.7m
  • Family home opposite park, single level, pool, Hampton – circa $1.95m

 

Auction Spotlight

A large crowd at the Thursday night auction showcased the capacity for entertaining at the rear of 90 Stanhope Street Malvern.

 

The original Federation home has been modernised and extended to deliver a large family home with clever zones and storage throughout. The outside entertaining area and pool are well positioned to maximise afternoon sun.

Adam Cashmore and Mark Sproule headed up The Agency team, with Adam placing a vendor bid of $4.8m to start off the auction.  Two bidders steadily took the offering up past reserve around $5.3m. At this point one stepped out, a third entered and very briefly a fourth.  Bidder one and three continued in varying smaller increments, with the latter eventually outlasting everyone, securing the home for a little over $5.5m.