October 10, 2015
The Melbourne property market kicked back into gear on the weekend, and aside from a small break coming up again in three weeks time (Derby Day/Melbourne Cup weekend) the market should have a very steady run into Christmas.
Although the overall number of homes auctioning on Saturday was lower, we saw good competition and multiple bidders at the auctions we attended.
We will see increased numbers and some good quality homes over the next fortnight, which will help gauge where the last quarter for 2015 is heading.
- 90 Edgevale Road Kew (Richard Winneke, Jellis Craig). One of the better renovated single level double-fronted Victorian homes you may see. A great home to downsize in, yet the clear weakness was access to off-street car-parking, which was via a narrow cobbled rear laneway. The auction started low at $2m and drew in 6 bidders, passing in for $2.4m. Selling afterwards for $2.552m. The result was solid, but felt about right. The property last sold as an unrenovated version in 2013 for $1.175m.
- 20 Eildon Road St Kilda (Kaine Lanyon/Sarah Wood, Marshall White). Well located freestanding brick interwar mansion. Over two storeys and essential two dwellings, this had plenty of potential and opportunity for the canny buyer. Sold for $2,350,000.
- 112 Ashburn Grove, Ashburton (Jason Brinkworth/Justin Krongold, Marshall White). Approx. 1529sqm, backing on to the Anniversary Trail. Bought for an undisclosed price over $2million or just over $1,400sqm.
- 4 Crossakiel Court Hawthorn (Campbell Ward/ Richard Winneke, Jellis Craig). 721m2 in coveted Scotch Hill location. Sold very strongly for $3.56m or $4,937sqm.
- 44 Birdwood Street Balwyn (Guy Coles/Jeremy Desmier, Fletchers). Outside the Balwyn High Zone, south facing rear and some slope issues. Still sold for $1.81m (about $3,000sqm) – this market is not backing off, based on this result.
- 3 Roslyn Street Brighton (Stephen Smith, Marshall White). Sporting an older architect designed ‘award winning’ home, for many the flow and levels are now seen as unconventional, the property now predominantly land. Three bidders took the price to $2.314m where it passed in, selling after for $2.335m (approx. $2,700sqm).
- family home, Kew – circa $3m
- large family home, minutes from Church Street, Brighton – $4mish
- single storey period home, Hampton – high $1millions
- updated family home, Malvern East – $3.5-3.8m
- Canterbury, with court – $10m
- Basic family home on 650sqm, Toorak – $4m
- Modern townhouse, Hawthorn East – $2m
15 Parlington St, Canterbury, James Tomlinson (Marshall White), sold after undisclosed
A crowd of around 100 gathered for this auction, in leafy Parlington Street Canterbury, which is not far from many private schools and the Burke Road shops. This was going to be an interesting auction; while the house had plenty of character and had been well maintained, it could be bulldozed and a demolition permit had even been recently granted to pull the house down. Nearby in The Ridge there had been several strong land sales well over $3000/sqm, so that should underpin demand. This block was 696sqm here which was OK, yet it sloped down to the rear which is not ideal for building new and something Chinese buyers do not overly like. With listing agent Heather Elder not far away, auctioneer James Tomlinson gave a considered preamble and kicked proceedings off with a vendor bid of $2m. Bidder 1 entered after some time for a $20K rise. The pace was slow for this auction, and eventually the property passed in for $2.3m with 4 bidders taking part. Sold after auction for an undisclosed price in the vicinity of $2.4m, which feels about right in the current market.
2 Peacock St, Brighton, John Clarkson (Buxton), sold $1.84m
John Clarkson always provides entertainment at his auctions and 2 Peacock was no exception. With realistic vendors, this home was always going to have competition, particularly in the ever increasing ‘downsizer’ market. Although dated and offering limited outdoor space, this James Rigney designed townhouse had excellent proportions, a large double garage and a downstairs bedroom/bathroom combination. Four bidders quickly pushed the price to $1.65million, where it was announced ‘on the market’, selling for $1.84million.
65 Greville St, Prahran, Jack Bongiorno (Marshall White), sold $2.529m
Just metres from the bustling Chapel Street shop & restaurant scene, the auction of this home attracted a crowd of around 70 people initially, but grew beyond that as plenty of passers by stopped to see what would transpire. Jack Bongiorno was our auctioneer and he stood in front of the crowd and gave a succinct preamble, praising the many virtues of the double-fronted home on a large, north facing block. “Move in before Christmas and the only decision you’ll have to make is where to put the Christmas tree,” he said before tabling a vendor bid of $2m to kick-start proceedings. All remained quiet so Jack headed inside for a quick referral. Back outside within minutes, Bidder 1 chimed in at $2.025m and Bidder 2 at $2.05m. Bidder 3 came in soon after with a $10k rise. At $2.455m Jack headed inside again and announced that the home was now on the market. Bidding between bidders 2 and 3 continued slowly in $1000 increments – Jack’s enthusiasm, professionalism and patience never wavered. The hammer finally came down at $2.529m to a round of applause from the appreciative crowd.
Agent Opinion: “Have there been any noticeable changes in sentiment from buyers/sellers since the school holidays?”
Nick Johnstone (Nick Johnstone Real Estate): “Not really – we are seeing the normal spring surge, buyers are chasing property aggressively if they are priced right. The change I am seeing is that people are reluctant to sell before they buy & are petrified about being “out of the market”. In recent years we have seen downsizers selling and then struggling to get back in the market.”