It’s not supposed to be like this. Real estate markets have bottoms, middles and tops.
So what has happened to Melbourne’s top end?
There’s nothing doing. Just a few old stayers, staying unloved.
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Step closer and you’ll catch whiffs of lemon or an aroma of fish — an owner or two big game fishing with prices too fat for their hooks.
EOInterest? Or Not?
High-profile Expressions Of Interest campaigns. Irving Road closed on August 27 and Stradbroke Avenue on August 20.
But …
Both are still there — now without closing dates.
Pardon?
An EOI without a closing date is even more perilous than an EOI with a closing date. You’re asked to commit with no guarantee at all — not even when you can expect a decision.
Our advice?
Indecision Epidemic. Some Symptoms:
- “It’s Trump’s China fault.”
- “Just wait ’til November.”
- “Expats will magic back with USD.”
- “HK exodus will flood in.”
- “Mezzanine finance is in the basement.”
- “0% interest is coming.”
Or …
Lack of action + lack of action = lack of action.
(That said, below the radar, things are moving quite nicely.)
Meanwhile, Behind The Scenes…
Good home. Secret plans to list in Spring.
Word got out. Two buyers rang their (“How did they know?”) agent before he’d planned to call anyone.
A quick auction between the two and it went with a 10% premium.
The lesson for the day: If you’re waiting for agents to call you, you may wait too long.
Sub $5m? Boom!
Bidders, bidders everywhere chasing sellers wielding Section 32s.
Unlike six months ago, the twain do meet.
Going, Going, Gone …
Value, that is.
The perils of buying off the plan. They bought in an up-market development for $1.36m 18 months ago. Settlement is due this week and now the bank has it valued at $920k.
People, don’t do it. Taking developers’ risks for them is just too … risky. There’s too much that can go unright.
Underquoted? Surely Not.
21 Canberra Road. Quoted at $1.2—1.4m. Sold over $2m.
Land value? $2m+ and any competent agent could have told you that.
No. Not an underquote. That just doesn’t happen any more. No…
Prognosis
Not too many long lunches in prospect at the top end. Sandwiches are looking up.