Markets work when they are open – when everyone knows how they work and what to expect.
The top end?
It’s more like a detective story. Good guys, bad guys and every swank nightclub has a dank lane out the back where the unspeakable goes to hide. All it needs now is a blonde with eyelashes and we’ll be off to the races.
Which is where all the big hitters were over the weekend. There or Noosa.
And the market?
[pullquote]”… those writing the plots don’t know what twists are in store.”[/pullquote]It’s not “the” market any more. Not at the top end. Now every sale is a different story and even those writing the plots don’t know what twists are in store.
So. A quick look at the landscape in which the dramas are playing out.
It’s just six weeks until death-by-Christmas and there are still seven or eight $20 million-plus brides waiting at the altar – and a couple more soon to join them – but there’s nothing like that many $20 million-plus prospective spouses to be seen; and those with that kind of money are well known by now (and all are local).
It’s not easy to see why you’d go to the expense and drama of a sales campaign when you could just pick up the phone.
Why, then, are there still so many crowding around that altar?
Most have been seduced by agents promising the sky and then left in tears when no suitor comes tripping up the aisle. At least not with the promised fortunes.
It’s then that Mr Crunch embraces them on the rebound. He who has a particular skill in acquainting his clients with reality and unearthing offers they cannot refuse. They meet the market, consummate the marriage and live sadder but wiser ever after.
Detective stories? Mysteries?
It’s as though those who should know how these stories play out get stuck between the pages. But when we live in the land of Whisper & Nod – and the uncharted territories off-market – the rule is there are no rules (but it’s still a great idea to get an Authority).
And so the course for Christmas is set. There may still be a few off-market surprises but mostly what you see on offer now is all you’ll get.
Even for your $20 million.
Bayside: The market rules, OK?
With the exception of Hampton/Sandringham, most of Bayside put in surprisingly solid performances over the past week; at least on the auction front.
The Bentleighs lead the way with 11 sold from 14 on offer. 40 Lindsay Street the highest on the day, just sneaking into seven figures with a sale at $1,008,000.
Beaumaris and Black Rock, stung into action by our comments of two weeks ago, produced a gold medal: a rare 100% clearance; albeit from a modest offering of five properties.
Of note is the realisation sale of 1 and 3, 9 Tramway Parade which sold for $1,102,000 and $985,000 respectively – massive discounts on the prices sought by the developer only a few months ago.
Hampton and Sandringham were mediocre at best and a reflection on the lack of quality of on offer.
The Brightons cleared 8 from the 12 on offer. Highest price was 33 Sussex Street – an old block of five apartments on 1170 sq m. Initially passed in to a local builder on a solitary real bid of $3.1 million, later discussions ensued and a sold sticker was affixed shortly after. It is understood the reserve was $3.3 million and it is likely a price close to that was agreed.
The other notable result was the sale before auction at 19 Asling Street at $2.35 million. It’s a contemporary double-storey house with a basement and unremarkable except that it is right next door to a large child-care centre. The little tots wouldn’t be a worry, but the daily parades of 4WDs …
Also a couple of weeks ago, we spoke of the number of Brighton marketing campaigns for properties in the $4 million-plus bracket.
Of the 11 properties mentioned, three have EOI’s closing in the next 48 hours and only two have sold so far. And…
- 3 Bonleigh Avenue was reported as being sold at, according to the selling agent, close to $7 million. It turns out that “close to” was in fact closer to $6.5 million but what’s half a mill between friends?
- 15 Park Street. Quoted as looking for offers over $7 million, the EOI campaign was successful in producing a buyer and, although undisclosed, a sale resulted in the vicinity of $7.2-7.3 million.
- 11 Moule Avenue is still available and earlier hopes for mid-$4 millions have been modified. We understand it is now on the market with an asking price just under $4 million – and offers are invited.
- 166 The Esplanade passed in on a vendor bid of $8 million and a reserve above that. An offer close to $7 million has since been rejected.
- 23 Chatsworth Avenue received little interest after the close of its EOI campaign at the end of October and we were told it was withdrawn from sale; but it’s still there on the web.
- 10 Blairgowrie Court is still available following the close of its EOI campaign on the 29th October.
And no matter what you are told, it is still tough out there at the top end of town.
In fact, most of these properties have some buyer interest but not, it seems, at the levels their vendors expect.
It’s been a common story over the last 12 months; and a reminder of the Third Law of Marketing:
“You can’t argue with the market.”
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