Newsletter - Inner Circle May 2016
Welcome to the latest news from the Property Mavens team.
All the talk this week is around Scott Morrison’s first budget, the debate on the merits of negative gearing, and the economy, which is puffing along at a below par rate with plenty of mixed signals to say the least.
Yet despite the negativity which pervades our TV screens and newspapers, in the world of real estate, Melbourne is performing strongly while Sydney seems to be slowing.
Auction clearances have averaged around 75% in Melbourne this year – and most importantly, this rate holds up even when we see big volumes of properties hit the market.
The best performing locations are in Bayside areas and north and north western suburbs like Thornbury and Ascot Vale. The outer suburbs are experiencing high sale volumes but have reached their peak in terms of pricing.
I expect houses will continue to gain from strong buyer demand, particularly in the key $800,000 - $1.2 million range. Buyers interested in units will need to be very selective as a there are large volumes of newly built, substandard apartments on the market.
For home buyers and investors alike, bayside offers some of Melbourne's best property if you know what you are looking for.
As we mentioned above, one of best performing areas for property prices is what I like to think of as the string of pearls alongside Port Phillip Bay.
Areas like Middle Park and Elsternwick are thriving, as they are both tightly held and field interest from buyers willing to pay handsomely to secure the right house in an elite postcode.
Further south, the competition is just as hot in suburbs like Hampton and Mentone with home buyers and investors fighting for a slice of suburban heaven close to the beach and public transport.
If you want to successfully buy the right property in a bayside suburb, you will need to do your homework very carefully, ensuring you have fully assessed what’s on offer before you put your hand up at an auction.
If you are interested in getting into your favourite bayside location, then get in touch with Property Mavens and we can help you find the home or investment property that’s right for your budget.
Increasingly, we are seeing a rise in the number of bayside properties listed ‘off market’ - usually due to ‘family reasons’ - which can represent a good opportunity for the right buyer.
We had a great success recently when we managed to secure this little gem in Northcote for one of our clients - Dan.
Dan wanted to buy a home but had a tight budget and he needed to ensure he didn't make any expensive mistakes.
Dan found this two bed townhouse and engaged Property Mavens to Assess and Negotiate his purchase. Our assessment rated the townhouse's location in a popular residential pocket as high, and the due diligence showed no structural or other issues with the property so we set about negotiating with the agent.
We managed to secure this townhouse at market value before auction – and negotiated to have $3,000 paid to the buyer at settlement, to cover items that were not in good working order as they should have been.
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