Property Values Report Autumn 2017 Mentone Mordialloc Parkdale
Welcome to the Autumn edition of our Property Values Report, a summary of property sales and related information, delivered to you exclusively by Buxton. We are committed to providing our clients with accurate, credible, relevant market information and have worked in partnership with independent real estate data specialists Property Analytics* to develop this report. The statistics within are designed to give you a deeper understanding of how the residential real estate market is performing across Melbourne, in this region and within your specific neighbourhood. The significant value growth we ve seen is not unique Viewed in the fullness of time, house price rises over the last few years are by no means unusual. The median house price in Melbourne has increased 25 years of the last 30. At any point in time since 1987, the likelihood that your house was worth more than it was the previous year was greater than 4:1 (values were up year-on-year in 100 of these last 120 quarters = 83% of the time). From 1996-2008, Melbourne house prices increased steadily. During this 12 year growth period, prices went up over 200% according to Australian Bureau of Statistics figures. The GFC hit in 2008, and contributed to a few years of sharp market bumps across Melbourne, throughout Australia and all over the world. Stability returned and Melbourne house prices began increasing steadily from 2013. Over this most recent 4-year growth period, prices have gone up about 40%. History suggests that this growth phase may run a bit longer Conditions support future growth Firstly, and most importantly, interest rates remain at record lows. Cheap debt finance continues to stimulate demand from investors, developers and homebuyers alike. Despite initiatives from the RBA, FIRB, ATO and other government bodies, domestic and overseas investor activity remains high. As reported last publication, sales volumes have been down for the last 12-18 months. There simply haven t been enough quality properties coming on the market to meet buyer demand sustained high auction clearance rates and short days on market are evidence of this. Listing and sale volumes have been steadily ticking upwards over recent months but the balance is likely to remain with vendors moving into 2017. Some things to watch We re certainly living in interesting times. As a globally oriented city, in a trade dependent country, Melbourne s economy (and real estate market) is intrinsically linked to international markets. Several important international and domestic questions are likely to be answered over the coming 12 months that could help shape the Melbourne property market: how fast and far will US interest rates rise; what will trade under Trump actually look like; how will China s economy and geostrategic moves play out; will the confidence of Australian businesses and consumers finally stabilise in a positive way; and can our federal government pass meaningful legislation aimed at addressing renewed concerns around debt, the economy and labor markets? People all over the world are feeling a bit uncertain and have been for some years. Ironically, this has likely contributed to the two key aforementioned metrics that continue to work in the favor of Melbourne property owners: record low interest rates and a continued imbalance between supply of properties and buyer demand for them. Few things are certain, but history suggests that continued price growth in 2017 is imminently possible. In this fast-changing market, it s important to seek professional advice from local market experts. Contact Buxton Mentone (see back page for details) for an obligation free property appraisal or further information on property market conditions in your area. Melbourne house price cycle over 30 years 250% 200% 150% 100% 50% 0% -50% 1987 Property ownership in Victoria 29% 37% 33% Greater Melbourne 27% 34% 40% Regional Victoria 37% residential lending commitments to investors over last 12 months (Source: RBA) 1992 1997 2002 2007 Approximate total % price change in each period Owned Outright Mortgaged Rented 2012 Property ownership data sourced from the Australian Bureau of Statistics (Census 2011) 2016 71% of metropolitan Melbourne households and 73% of regional Victoria homes are owned or mortgaged 76% Auction Clearance Rate (Source: REIV) 1.5% is the RBA Cash Rate $400 is the median weekly rent for units or townhouses in metropolitan Melbourne and $260 for regional Victoria (Source: REIV). $420 is the median weekly rent for houses in metropolitan Melbourne and $300 for regional Victoria (Source: REIV). December vacancy rates for metropolitan Melbourne were 2.4% and regional Victoria were 2.5% (Source: REIV) Melbourne average gross rental yield Houses = 2.9% and Units = 4.0% (Source: CoreLogic RP Data Professional) 32 is the average days on the market for metropolitan Melbourne properties and 68 days for regional Victoria (December 2016. Source: REIV). (Source: ABS Census 2011) * Property Analytics (www.propertyanalytics.com.au) provides independent statistical information to real estate professionals throughout Victoria and New South Wales.
Property values in your neighbourhood Houses: 2016 Units / Townhouses: 2016 Latrobe Rd Area 1 1-3 Bedroom 4+ Bedroom All Houses Number Sold 8 10 18 Median $1,171,750 $1,500,000 $1,415,500 Highest $1,950,000 $1,890,000 $1,950,000 Median 3 yr % change 27 20 36 Area 1 1-2 Bedroom 3+ Bedroom All Units Number Sold 60 17 77 Median $505,125 $995,000 $539,975 Highest $900,000 $1,620,000 $1,620,000 Median 3 yr % change 7 29 4 Voltri St Area 2 1-3 Bedroom 4+ Bedroom All Houses Area 2 1-2 Bedroom 3+ Bedroom All Units Charman Rd 2 Nepean Hwy 3 Number Sold 16 6 22 Median $1,017,500 $1,289,751 $1,050,000 Highest $1,295,000 $1,650,000 $1,650,000 Median 3 yr % change 33 27* 28 Area 3 1-3 Bedroom 4+ Bedroom All Houses Number Sold 40 25 65 Median $490,000 $870,500 $585,000 Highest $905,000 $1,190,000 $1,190,000 Median 3 yr % change 9 22 17 Area 3 1-2 Bedroom 3+ Bedroom All Units Balcombe Rd 4 Number Sold 24 11 35 Median $855,000 $972,500 $885,000 Highest $1,150,000 $1,351,000 $1,351,000 Median 3 yr % change 29 26 21 Number Sold 16 18 34 Median $586,800 $725,000 $675,000 Highest $722,000 $809,000 $809,000 Median 3 yr % change 43 10 24 10 1 Warrigal Rd 6 Lower Dandenong Rd 7 Area 4 1-3 Bedroom 4+ Bedroom All Houses Number Sold 11 8 19 median $813,500 $1,145,000 $930,694 Highest $1,063,000 $1,256,500 $1,256,500 Median 3 yr % change 31 58* 48 Area 5 1-3 Bedroom 4+ Bedroom All Houses Number Sold 21 16 37 Median $1,150,000 $1,680,000 $1,370,000 Highest $1,950,000 $3,500,000 $3,500,000 Median 3 yr % change 24 40 30 Area 4 1-2 Bedroom 3+ Bedroom All Units Number Sold 6 8 14 Median $560,000 $881,500 $690,000 Highest $610,000 $1,207,000 $1,207,000 Median 3 yr % change -15* 40* 21 Area 5 1-2 Bedroom 3+ Bedroom All Units Number Sold 44 19 63 Median $497,000 $1,217,500 $550,000 Highest $762,000 $1,520,000 $1,520,000 Median 3 yr % change 7 42 12 Como Parade West Nepean Hwy Warren Rd 8 Area 6 1-3 Bedroom 4+ Bedroom All Houses Number Sold 13 8 21 Median $1,205,000 $3,500,000 $1,387,500 Highest $1,450,000 $1,631,000 $1,631,000 Median 3 yr % change 39 45 41 Area 6 1-2 Bedroom 3+ Bedroom All Units Number Sold 13 17 30 Median $553,500 $922,500 $789,500 Highest $780,000 $1,450,000 $1,450,000 Median 3 yr % change 20 34 33 Beach Rd Area 7 1-3 Bedroom 4+ Bedroom All Houses Area 7 1-2 Bedroom 3+ Bedroom All Units 5 Number Sold 31 28 59 Median $925,000 $1,215,000 $1,010,000 Highest $1,330,000 $2,300,000 $2,300,000 Median 3 yr % change 29 37 35 Number Sold 28 24 52 Median $560,000 $725,000 $647,000 Highest $680,000 $965,000 $965,000 Median 3 yr % change 30 21 26 White St Area 8 1-3 Bedroom 4+ Bedroom All Houses Number Sold 14 6 20 Median $787,000 $873,000 $850,500 Highest $1,282,000 $1,115,000 $1,282,000 Median 3 yr % change 30 4* 38 Area 8 1-2 Bedroom 3+ Bedroom All Units Number Sold 6 9 15 Median $425,000 $635,000 $568,000 Highest $568,000 $820,000 $820,000 Median 3 yr % change 15* -6* 9 9 Boundary Rd Area 9 1-3 Bedroom 4+ Bedroom All Houses Number Sold 19 19 38 Median $872,500 $1,150,000 $1,050,000 Highest $1,500,000 $1,431,000 $1,500,000 Median 3 yr % change 25 25 39 Area 9 1-2 Bedroom 3+ Bedroom All Units Number Sold 38 43 81 Median $446,000 $722,500 $607,750 Highest $661,000 $1,265,000 $1,265,000 Median 3 yr % change 4 13 25 Area 10 1-3 Bedroom 4+ Bedroom All Houses Area 10 1-2 Bedroom 3+ Bedroom All Units Number Sold 9 7 16 Median $1,495,500 $1,936,250 $1,535,000 Highest $1,675,000 $3,033,000 $3,033,000 Median 3 yr % change 32 56* 25 Number Sold 18 2 20 Median $587,500 $807,500 $600,000 Highest $805,000 $830,000 $830,000 Median 3 yr % change 37-15* -3 Buxton has divided the map on this page into 10 different property value areas. To find out the median house value in your neighbourhood, simply locate your street on this map to discover which area your property is in, then look up the relevant chart. Data shown is for the calendar year ending 31 December, 2016. *Median Value Increase in 3 years % figure is statistically unreliable due to insufficient sales volumes.
Median sale prices by suburb in the last 3 years Recent local area sales successes Median Value 3 Year % Change Houses Beaumaris 30 Black Rock 27 Cheltenham 36 Mentone 30 Mordialloc 40 Parkdale 38 Units / Townhouses Beaumaris 36 2014 2015 2016 2014 2015 2016 Beaumaris - 173 sold Beaumaris - 78 sold $1,455,250 $1,085,000 $1,385,753 $1,040,000 $1,120,000 $800,000 $1,000,000 $1,250,000 $1,500,000 $700,000 $900,000 $1,100,000 Black Rock - 59 sold Black Rock - 60 sold $1,741,250 $1,010,000 $1,510,000 $852,000 $1,370,000 $747,325 $1,200,000 $1,500,000 $1,800,000 Cheltenham - 252 sold Cheltenham - 223 sold $950,000 $597,500 Balcombe Rd, Beaumaris - Sold for $20,000,000 approx gross 20 lots. Sold by Wesley Belt. Eblana Ave, Mentone - Sold for $1,890,000. Sold by Wesley Belt. Maximise your sale price with Buxton Mentone With sales results like these, it s easy to see why Buxton is a leading agent in your neighbourhood. Our experienced professionals are local area experts and have the proven strategies to market your property to the right buyers. When you appoint Buxton to sell your home, we use advanced buyer profiling and property matching strategies to identify and locate the best buyers those who will pay the most for your property. We then develop a targeted and fully integrated advertising campaign to reach them with outstanding impact and frequency. Black Rock 35 Cheltenham 22 Mentone 15 Mordialloc 20 Parkdale 24 $825,000 $698,350 Mentone - 111 sold $1,025,000 $941,500 $790,000 $550,000 $490,000 Mentone - 217 sold $597,000 $495,000 $520,000 Mountview Ave, Parkdale - Sold for $1,815,000. Sold by Katrina O Brien & Mathew Cox. McGregor St, Parkdale - Sold for $1,640,000. Sold by Emily Whitehead & Mathew Cox. It all adds up to more of the right buyers and the best possible result. Current buyer enquiry to our office is strong, and if you are considering selling, the time is right. Contact us now and find out how our highly skilled auctioneers and negotiators can maximise your sale price. See the back page of this booklet for contact details. Mordialloc - 67 sold Mordialloc - 115 sold $1,010,000 $589,500 $820,850 $500,000 $723,000 $490,000 Parkdale - 108 sold Parkdale - 125 sold $1,175,000 $640,000 $850,000 $930,000 $516,000 $582,000 Wallingford St, Cheltenham - Sold for $1,490,000. Sold by Emily Whitehead & Mathew Cox. Milan St, Mentone - Sold for $1,600,000. Sold by Wesley Belt. $800,000 $1,000,000 $1,200,000 $500,000 $600,000 $700,000 About median values The median value is a more reliable figure than an average price. This is used as an indicator of price trends in a particular area. That s why median prices are used by Buxton, the Real Estate Institute of Victoria and the Valuer General. Simply, the average price is obtained by adding up the value of all sales and dividing that figure by the number of sales. The median average is the middle price when all sales are arranged in order from highest to lowest. Data shown is for the calendar year ending 31 December, 2016. Please note that figures relate to sales of individual residential properties only, and exclude sales of multiple dwellings in single transactions (e.g. blocks of units), vacant land, and commercial real estate. The data on these pages also includes Valuer General data and because of the delay in receiving it, the 2016 data may be missing some sales taking place towards the end of the calendar year. Also be aware that if any area has aparticularly low number of sales during any period, this may unfairly influence the trend. Whilst every care has been taken to confirm the accuracy of the information presented, neither the authors, editors or publishers can be responsible for errors or omissions or for any consequences from application of the information given.
Property Values Report Autumn 2017 If you are considering selling and would like to achieve the highest price possible, contact the local area experts - Buxton Mentone. Or, for an accurate, obligation free market appraisal call us now on 9583 9811. Wesley Belt 0418 310 753 Mathew Cox 0413 102 224 Katrina O Brien 0411 626 394 Emily Whitehead 0420 997 276 Amy Todisco 0451 373 830 Marie Anderson 0404 470 212 Aidan Oke 0430 137 587 Jessica Marsche 0414 973 423 Sarah Grant 0411 898 185 Mentone 99 Charman Road