VIC Melbourne price correction - post examples

Lol winning bidder runs away in Balwyn North

Auction disaster strikes Balwyn North block after buyer runs away - realestate.com.au

 

Hahaha the best example of FONGO I have ever heard of!

 

1A Viewhill Road, Balwyn North, Vic 3104

not a bad buy at 1.03M and in the school zone. A builder could make money here

 

Advertised for 830 to 870, sold for 1.02mill.
9 Berrima Road Rosanna Vic 3084 9 Berrima Road, Rosanna, Vic 3084
Similar size block and slightly worse house in a better part of the suburb sold for 840 two months ago!
20 Leon Avenue, Rosanna
Sold 20 Leon Avenue, Rosanna VIC 3084 on 02 Apr 2019 - 2014990914 | Domain

Sent via the Domain App

 

SE Melbs/Bayside, the area I watch seems to have stabilized a bit, or at least older stock is starting to clear now. Previously only A+ properties priced fairly seemed to be clearing.

That said, sold volumes still low historically and it's been pretty dry for good properties, I'll be interested to see what happens come spring.

I have a feeling sub $800K stuff around melb will perform well due to apra assessment rate changes and FHOB 5% deposit chum, because that bracket of buyer is most likely to be borrowing their max.

 

39 Argyll St Malvern East

Sold 8 August 2015 for $1,300,000

39 Argyll Street, Malvern East, Vic 3145

Auction scheduled 10 August 2019:

39 Argyll Street, Malvern East, Vic 3145

Quoting $1,280,000-$1,408,000

 

I went to this auction this morning:

210 Bastings Street Fairfield Vic 3078 https://www.realestate.com.au/property-house-vic-fairfield-131419114

Price range of 890k-930k. It sold for 965k well above the reserve of I think 925k. There was a decent crowd (70-odd people) and 3 bidders in the end.

On the face of it that looked a decent result going well above reserve. But then I saw the near identical one next to it sold for $955k in September 2016:

208 Bastings Street Fairfield Vic 3078 https://www.realestate.com.au/sold/property-house-vic-fairfield-123420758

According to Domain the median house price in Melbourne rose 3.6% in the final quarter of 2016 and then another 13.6% (from $795,447 to $903,859) in 2017. So at the end of 2017 if it grew at the rate of the median Melbourne house price it would've been worth over $1.12M. That means the sold price today is a drop of 14% since the end of 2017.

So not sure what to think. Probably shouldn't read too much in to a single auction. The biggest change from results I saw a few months ago is that the vendor expectations were much lower. I get the feeling at the start of this year similar properties were setting the reserve unrealistically high and passing in whereas this reserve seemed remarkably low so comfortably went past that.

 

Received a text from the agent about this one sold last week. I have added a comparable sales below. Same size home and land, similar build conditions, same school zones. Price difference $90k.

Sold on 22/7/19- $990k
20 Plato Crescent Wheelers Hill Vic 3150 20 Plato Crescent, Wheelers Hill, Vic 3150

Comparable sales:
Sold on Nov 2018-$900k
99 Cootamundra Drive Wheelers Hill Vic 3150 99 Cootamundra Drive, Wheelers Hill, Vic 3150

 

Comparing apples to oranges.

Plato crescent is zoned Brentwood Secondary in Glen Waverley.
Cootamundra drv is zoned Wheelers Hill Secondary in Wheelers Hill.
FYI, wheelers Hill secondary came 425th in 2018 vce results out of 533 schools. Brentwood was 168th. I will pay $80k extra any day.

 

Younginvestor2, I live in the area and know that Brentwood enrolls students from far outside the zone and Cootamundra Dr is just a 100/200 meters away.
Anyway, how does this this one compares? Apple with Banana? This time in Brentwood zone.
Sold in December 18 for $840k.
1 Hibiscus Drive Wheelers Hill Vic 3150 1 Hibiscus Drive, Wheelers Hill, Vic 3150

I have been watching this suburb for the last 18 months very closely and I know exactly what is happening on the ground..

 

Can I suggest that you look it up at findmyschool.vic.gov.au? The last time I checked it is also zoned Wheelers Hill secondary college.

If can’t bother, at least read the realestate.com.au link you provided. There you go - last paragraph.

“Fabulous central location, walking distance to Brandon Park Shopping Centre, Wheelers Hill Secondary, primary and pre-schools, buses, parks and reserves plus easy access to Caulfield Grammar, Jells Park and M1 and Eastlink freeway”

Not quite sure how closely someone is watching if one can’t figure out which school zone a property belongs to.

 

Just check here and zoom until you see the road.
Brentwood Secondary College Zone

 

I know I can only rely on findmyschool.vic.gov.au
as it is a vic gov official website. I won’t worry about any other 3rd party website.

 

This has changed since late last year but still intersecting. And 'If the zone line intersects the block of land containing your residence, then you have a right to attend either school' - from find my school web.

 

If this is consistent it matters, you need to look at several years of data. In my old school, one year we came around 200th, because we had a good cohort. Year before we came around 400th. It would look like we’d had a huge improvement but really we just had a good group come through. Honestly seeing how the kids behave when they’re going to school or leaving school, on trains, at the local shops, etc. will give you a much better idea than one year of VCE/HSC results. Or even better, local regional mums group on Facebook will know the schools reputations (but they won’t let a male join).

 

Yes you're right , I didn't see the map. I only looked at the box that came out after i inserted the address. You do have the right to attend either school.

I was wrong and embarrassed. But to save face, I still have to argue having zone line intersecting the block creates ambiguity. I would rather buy one that is well inside the zone and pay a premium for the fear of changes in the future.

 

It's okay, younginvestor2.
Wheelers Hill is mostly a PPOR suburb. If someone is very passionate about school and ranking only, he/she will most probably move to Glen Waverley as GWSC holds very high and consistent ranking. My kids go to a nearby primary school and I enrolled them when I was not living in the school zone and I am not the only one. Similarly, I know a few of my friends whose kids go to Brentwood secondary college and they don't live in the school zone either however I understand being in the school zone makes a big difference to some.
Another example - this one got sold in December 2018 for $900k and at the time of selling it was in Brentwood zone however I just saw it's out of zone now.
87 Strada Crescent Wheelers Hill Vic 3150 87 Strada Crescent, Wheelers Hill, Vic 3150.

All the three properties I mentioned are very close to Brandon Park primary school (Ranking 98-100) and the private Mazenod College.