Melbourne pulse

[Twitch]

some reading for those that can't get the age easily.....

"Buy now or pay more later in a rising market, say agents" - by Kate Nancarrow

In a market not for the faint hearted, agents reported househunters determined to buy something rather than miss out and discover a few months looking meant have to spend an extra $100,000.

They said buyers were willing to overlook many inpediments in their desperation to buy.

Woodards' Ruth Roberts watched five bidders vie for a land-value-only property at 19 Heatherbrae Avenue, Caufield, yesterday, which eventually sold to a developer for $895,000 after the property was declared "on the market" at $750,000.

She said inner Melbourne's hot auction market was "not for the faint hearted" and buyers were being forced to lower their expectations or start searching in cheaper areas. Delaying only meant "it will cost you each week you are not buying", Ms Roberts said.

In Bentliegh, Buxton's Craig Williamson reported an interesting weekend, with fierce competition even for an ordinary house with a quirky layout on the wrong side of the street. The house, at 12 Huntley Road, Bentliegh, sold for $760,000, $100,000 above reserve.

Mr Williamson said there had been 23 requests for contracts, and six bidders competed furiously for the property until it was sold to an investor from North Brighton who had missed out on a similiar property six weeks earlier when he'd refused to go beyond $650,000. Six weeks later he was forced to pay $760,000, Mr Williamson said.

He said the exceptionally strong demand, fuelled by a rising population, strong economy, and buyers' increasing awareness of the need to be near transport meant they were forced to be less fussy. "South facing, main roads, railway lines, quirky floor plans -- it's like 'who cares?',"he said. "It's creating real estate heaven".

Hocking Stuart's Greg Hocking reported strong results and said waterfront Melbourne and inner bayside were both "bullet proof" real estate.

His firm sold a beachfront townhouse at 3/72 Nepean Highway, Aspendale, for $2,250,000 and a beautifully renovated single-fronted brick home on 252 square meters of land at 72 Nimmo Street, Middle Park, for $1.8 million.

The firm sold 58 or 69 properties auctioned.

Bill Stavrakis, of Biggin & Scott, also reported strong sales. A semi-detached house at 12 Elm Grove, East St Kilda, sold for $878,000 and an Edwardian house, at 12 Venus Street, Caufield South, sold for $770,000.

"The vendors would've been happy with $650,000," he said

 

[jingo]

Hi Twitch,

My experience looking for an investment property in the inner market concurs with what I read in the article. I think that people are throwing away many of the accepted real estate 'maxims'. Eg don't buy on a main road, buy north facing, etc, etc, just to simply get into the market.

The market is moving very very quickly. Dilly dalying costs serious money in this market!

Regards Jason.

 

[DavidMc]

This type of news makes me feel better about my recent purchase.

A similar property sold for $620k just around the corner. It was renovated but it was ground floor and a smaller apartment.

Looks like my first 3 years negative cashflow paid already for in the first 2 months. Looking forward to that first refinance!