Monthly Property Update- February
By Advantage Property | 7th Feb 18
Welcome to our first Advantage Property monthly market update. Melbourne has started solidly in the first few auction weekends and we continue to see more record results across Melbourne. We saw a record result in Mt Eliza just before Christmas where a property sold for $3,000,000, $1,000,000 over reserve and we also recently saw a huge result in our office building here on St Kilda Road which just sold for $57,300,000 and was only purchased for $40,000,000 in late 2016.
There is much talk that foreign investors have dropped off and that the numbers are now lower than what they were. They hit a six year low of 8.4% for new homes and 5.5% for established housing. Though, they are still an influence, as our office building was purchased by a foreign investor after it was also purchased by another foreign investor in 2016.
First Home Buyers continue to increase in numbers and they are now 28% of the market place and were only 12% prior to the 1st of July when the Government increased the stamp duty concessions. We have also noticed a recovery from investors at the start of the year with much more investor enquiry and it is much higher than last year. There continues to be talk about what interest rates will do and that will be a big hand brake on the market when the RBA increases rates though most experts are not predicting any increase until next year. It will also be interesting to see how the vacancy tax which was implemented on the 1st of January affects the market and whether there will be many more apartments put on the market for sale and for rent.
We will have our first Investor Club meeting of 2018 next Thursday 15th of February. It is important to understand your financial position and options when purchasing a home or investment property. We will have a panel of finance experts answering your questions and providing crucial information about strategy and process. You will also hear from me on current market conditions and what’s to come in 2018 and as always there will be an experienced client talking about how they have built their portfolio and answering your questions. To book your tickets, click here.
Please don’t hesitate to check out our website for more information about our popular Buyer’s Advocate, Sellers Advocate, Owner’s Corporation and Property Management services and our latest newsletters as well as our future Group Block opportunities including our block of two bedroom art deco apartments (without parking) in Duke Street, St Kilda for $485,000-$535,000 each as well as our two bedroom villa units in St Albans (approximately $275,000 each). Open for inspection Saturday 10th February 12:00pm-12:30pm and the ballot being held on Monday 12th February at 4:00pm. Please register your interest by contacting firstname.lastname@example.org