VIC Melbourne price correction - post examples

At the moment, the more $$$ the area, the harder the fall, is a good rule of thumb.

Over 1.5m hit hard, feels like 15%.

<1m Only really just starting to fall a few %

 

OK...that is different in Sydney...but get your point.

I got a call from my agent managing asking me if I want to sell my 3x2x2 which i built from scratch for 325k....which is now valued at 500k...it was 530-550k plus before. Apparently the 750k market has dropped 100k....but the 550-600k market is quite strong and dropped only 20-35k...interesting.

So that does support your view....

 

Cash seems to flowing to lower and lower markets. Hobart in tas slowing down now, Launceston going strong (300k houses).

I'm surprised to hear 750k market in melb has dropped that much. Though I did see some data on FHB grants showing a lot less are being claimed...

tight credit all round methinks.

 

Yes that is what the agent told me...in the Outer areas it is under 600k...anything over 600s is stagnating...stuff between 450-550k...mostly 3 and 4 brms selling well...even with 1 garage...affordability is an issue....and also people don't mind smaller properties now...

 

SE but not as far as Officer/Pakenham but suburbs that were around $700k median off about 10% from peak.
On the ground has picked up in the new year with foot traffic has improved in checking out opens and talking to agents.
No investors all OO purchasing. Stock needs to be well presented, correctly priced with OO appeal is moving, but lower quality stock is sitting which was being snapped up in the boom.
FWIW auction clearance up from 40s to 50s last few weeks so indicates perhaps buyers & sellers getting closer on expectations in the new year.
Some OO missing out with low ball offers so minimal price competition but will see if it’s a dead cat bounce.
In summary seems to be prices stabilising/stabilised but will see more coming in to the Easter break & the election disruption.
Cheers

 

NW and West show the same trend. In average, drop about 5-10% from peak. Good OO stocks are doing ok but old, unrenovated houses are sitting on the market for quite long. Few properties have lost 15-20% from what they paid 12-18 months ago due to several reason (overpaid, over-capitalised renovation).

 

Good to hear.

 

Ugly numbers if you purchased in 2016 and 2017.

 

Yep...but remember...most of this would be in the over $850k market...the bottom and mid end is doing okay..even there it is down 3-7%...but the expensive stuff is down 15-20%

 

Yup, Brighton is taking a drubbing. Checkout the amount of passed in auctions this week.

 

Sold this small 90sqm terrace for 900k in 2015. Few doors down better condition bigger quoting 800-850

Sold another $2m in 2017, 217sqm. Main road. Around corner leafy street now $1.3-1.45m quote, better condition

 

Nice timing, mate.

 

Beejesus man.....are ya kiddin that is like 30-35% drop! What suburb is that?

I thought my neck of the woods where houses in the $2.5m to $3m have come down to 2.2 to 2.5m!!

 

REIV shows six auctions in Brighton this weekend and none of them sold.

 

Indeed.

 

12 Grant Court, Beaconsfield Upper, Vic 3808

32 Brennan Avenue, Beaconsfield Upper, Vic 3808

Number 32 was listed and sold right in the heat of the panic. Went up cheap and sold in a week. Looks like a big reno but that's the first I've seen at 2015 prices. You'd think it would've sold for at least 750k. Worth easily 1-1.1m, fully renovated.

The house itself also looks decent. Maybe there's a BAL 16 rating on the block otherwise bargain

 

Bal 16? Not sure if that’s a real category - but with that bush I’d expect it might be higher...

 

20% above - LOW / MED / HIGH ?