Prices are at a premium. Pace is unbelievable – properties are selling in under a fortnight. But stock? It’s still undersupplied in Sydney’s east.
Price Pace & Properties
These are signs of a strong real estate market: price, pace and property volume. July’s market has two out of the three of these. Price, for one, is as strong as it has been in the eastern suburbs market. This feels incongruent with the covid economy, doesn’t it? For instance, in July we sold a beautiful apartment in the Pacific for $7.8m. It is believed to be the most expensive property in Bondi ever sold without a beach view.
Pace is also an indicator of confident purchaser behaviour and well-priced product. For context, winter is characteristically duller and slower than warmer months, but not this July. Pace is certainly evident in the market. For instance, in July we sold 180 Military Road in Dover Heights, a 540sqm renovated, beautifully styled home for over $5m in just 9 days. Down the road, we also sold 158 Military Road in Dover Heights for $4.6m within two weeks (that was a lovely sale to handle, as we’d sold it to those vendors two years earlier),
Sold – 158 Military Road, Dover Heights
So pace is here, and price is here, but property volume? We simply do not have enough stock to meet buyer demand. In July, our team sold every property we had available on the market.
In saying that, we are observing a shift in prospective seller sentiment. Vendors who were contemplating selling in the next year or so are now bringing their sale date forward to capitalise on the lack of stock and perceived opportunity, as well as a fear of the unknown. What will the next few months bring?
Buyers Have Brought Forward Their Purchasing Plans
In terms of buyer behaviour, our theory is that on top of expat interest – particularly out of Hong Kong, New York City and London, and perceptions of Sydney’s prestige property as a safe haven by international investors, Australians and locals who would ordinarily be in Europe on a summer sojourn have brought forward their future purchasing plans.
Our observation last month on the types of property transacting remains consistent in July. A-grade properties are selling well. By that we mean prime location, all the critical attributes from parking to views, good land sizes for houses, and reputable strata complexes for units.
August too brings with it an array of A-grade properties being marketed through the team here at Goldman Bros. A luxury apartment at 3/34B Latimer Road, Bellevue Hill has a guide price of $3.4m, while a three-bedroom luxury apartment at 10/178 Campbell Parade, in the Beach House development with superb Bondi Beach views will have a guide price of $3.75m. There’s a chance for a savvy investor – or local hoping to move closer to the sand – to secure a beach-facing ocean apartment at auction: 11/236 Campbell Parade.
3/34B Latimer Road, Bellevue Hill
Some spectacular homes are available also including a 600sqm North Bondi property at 1 Macleay Street which has a guide price of $5.25m; or 19 Wallangra Heights in Dover Heights with a price guide of $5m, or a terrace in Darlinghurst, which will go to auction with a guide of $2.75m. These are just some of the properties we have on offer in August, and if July was the litmus test for pace, we expect these to be purchased well before Spring.
1 Macleay Street, North Bondi
- Posted by The Goldman Brothers
- On August 14, 2020
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