The big weekend!

The Melbourne Cup of auctions!

The biggest of the year!

The bidders are at the barriers!

The lights are flashing!

They’re off! Or not!

Super! Saturday!

It was a weekend with plenty of !s.

Big bets from both buyers and sellers, but not every one a winner.

Especially at the top end, and even over a weekend where bidders were five and eight deep, there were those who completely missed the start.

Buyers crowded little gems – it was very property-specific and in some cases postcode-specific – and contrasted with a heap of vendors who had been imbibing something euphoric in the lead-up to this “can’t fail” weekend and then had to deal with some vicious hangovers.

Some specifics.

Toorak: five out of the twelve properties offered were passed in.

Hawthorn and Malvern: practically everything sold (five at over $2 million).

Malvern East: disaster; many high-profile properties still waiting for a bid.

Kew: little quality, little interest.

There is a trend, and it’s a healthy one. Buyers are becoming more discerning and more patient. That was well ilustrated during the week when 2a Como Avenue sold for $3,990,000 (over $500/sq ft) against $3,350,000 reserve. While $600,000 will come in handy for Christmas presents, what is most notable is that there were five people who were all making serious bids – and three of those were under-bidders 12 months ago for similar land in the same street.

Why are they waiting? Why land? It is frustration mainly. We spoke to each of the under-bidders and their reasons for chasing the block was they could not find anything of quality to buy and they believe it will be easier to start with a plain envelope than to try to retrieve a troubled floor plan. That’s a trend that we have noticed over the last three months; particularly among segments of the Chinese community in the Boroondara area.

The other end of that scale is equally weighted. When a property is all ready – everything done and all that’s needed is to move the furniture in – people will pay a premium to save the 18 months of angst of building or significant renovation. To them that’s worth an additional 10 to 20%. (And a lot of builders must now be kicking themselves that their crystal balls didn’t show that 12 months ago.)

Super Saturday’s standout result was 20 Callantina Road, Hawthorn which sold for an impressive $6,125,000 against an early $5 million expectation. Five bidders went hammer and tongs for this classic Scotch Hill home. It’s a house we know well: we bought it for the current vendor only a few years ago for … $2,350,000.

So much for the hits. As notable were some notable misses:

• 6 Cross Street, Toorak passed in at $4,020,000 reserve $4,500,000
• 36 Heyington Place, Toorak received a vendor bid of $2,800,000, reserve $3,000,000, and offered a demonstration that deceased estates don’t always sell.
• 29 Washington Street, Toorak vendor bid $2,750,000 reserve $3,000,000 – pricing euphoric, hangover persistant (see above).
• 30 Park Place, South Yarra passed in at $3,220,000, reserve is $3,500,000. Feel the pain.

East Malvern. At the top end a bomb could have gone off and no-one would have noticed.

• 61 Kerferd Street, big, big advertising budget, lots of bells, lots of whistles but not a lot of bedroom accommodation. Scraped up a vendor bid of $2.9 million. Reserve? $3.5 million. Yes. Right.
• 74 Central Park Road. Nice address. The vendor bids $2.6 million and the reserve is $3.1 million? We’ll have what they’re having.

There’s a great divide widening between the top end and the rest. The top end, increasingly, is being driven by quality real estate. The hype isn’t working any more. People are prepared to say thanks but no thanks when, at the other end of the market, there’s simple desperation to buy something, anything, before prices take another leap.

Yes, Super Saturday demonstrated that this is as strong as market as it has been for 30 years; but that does not mean it has become completely irrational.

David Morrell

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Bayside: Hit, miss, hit, miss, hit…

With the now-to-be-expected exception of the Bentleigh area, the sheer volume of property offered over weekend has at least temporarily overwhelmed the market, leaving many bruised vendors still waiting for buyers – yet those who did sell generally attracted several bidders and a number of sound to outstanding results ensued.

Brighton and Brighton East were awash with auction flags and boards (37 auctions were scheduled), but the clearance rate was down, down down at 58%.

The majority of those passed in did so on vendor bids and only one or two attracted limp later offers. Even so, the mail is that some of those reported later offers were a trifle fanciful. Figmants. Imagination. Little hopes given wings. Gosh, how unexpected.

Brighton’s hits:

19 Chatsworth Avenue, the highest price on the day was a side-by-side townhouse near the beach. Last sold in December, 2008 for a price close to $2.5 million, renewed buyer confidence saw bidding rise to $2.95 million before the hammer was dropped.

32 St Andrews Street sold for $2.45 million. A period style front half attached to a challenging 70?s style back half didn?t deter buyers who obviously valued the central location close to Church Street and the large allotment: 1037 sq m.

3 Horton Close was a magnet for new home builders and developers. There’s a comfortable single-level house on 650 sq m (with a 70 ft frontage), just off Head Street and adjacent to Head Street park and reserve. It sold for a record price – almost $300 per sq ft. – a serious $2.055 million, at least $200,000 more than reasonably expected. (Six months ago you couldn?t give land away, now it’s selling like it’s not being made any more.)

5 Manor Street, a good street one back from Dendy beach. A rear single-level 80?s style townhouse, it has unusually large land (650 sq m including the driveway) and redevelopment or rebuilding potential. Several interested parties pushed it to $1,705,000.

Brighton’s misses:

A number of substantial Brighton properties failed to fire; which raises the question: in a runaway market, what is true value?

52 Black Street is a well renovated and extended Edwardian house on decent land (10,000 sq ft). Some might say it is positioned at ?the other end? of Black Street, but it is still a fine home. Quoted at $3.3 million+, the auction was a disappointment with only a vendor bid of $3.3 million to be heard. The reserve has not been published but is likely to be around $3.5 million.

127 New Street. A well presented period house on 1175 sq m with plenty of living and bedroom spaces. Its location on the corner of Dendy Street, opposite the railway crossing, was always going to be difficult to overcome and at this stage buyers are keeping their hands in their pockets. It was passed in on a vendor bid of $2.4 million and although the reserve has not yet been made public, the house was originally quoted at up to $2.65 million.

20 Asling Street. Another well renovated and extended Edwardian house – on almost 900 sq m – it also failed to sell on the day. A vendor bid of $2.6 million against a reserve of $2.9 million. Not everyone, it seems, loves a railway line at the bottom of the garden.

Lesson for the day? Positions matter, they can be compromised and their prices should reflect that.

74 Halifax Street – brand new, on 650 sq m – passed in on a vendor bid of $2.35 million against a reserve of $2.6 million.

Two noteworthy sold prior properties were at

41 Wilson Street sold prior for $1.905 million.

784 Hampton Street, a town house on the corner of Camperdown Street, sold prior for a little over $1.25 million.

Brighton East. 12 starters, 7 wins, 5 still to finish.

54 Shasta Avenue, a site of 1200 sq m at a permit for three townhouses was knocked down at $1.7 million.

3 Curzon Street – shades of Tuscany – sold for an expected $1.67 million.

20 Edro Avenue, a site of 708 sq m, sold for $1,305,000 against a quoted range of $950,000-$1,045,000 (more ! – quoting mayhem is still alive and well).

6 Studley Road – quoted at $1.175-1.29 million, sold under the hammer for $1.25 million. Quoting faith restored (!)

21 Primrose Crescent is a substantial 5-bedroom house with ample living areas, but maybe a touch too close to Nepean Highway. It passed in on a vendor bid of $1.5 million with a genuine $1.525 million offered later against a reserve of $1.625 million.

7 Noel Street. With a reserve of $1.29 million, the best it could do on the day was a vendor bid of $1.225 million.

Beaumaris and Black Rock had a mixed day with almost equal numbers sold prior, sold on the day and passed in. Nothing was sold at auction over one million and in fact 15 Iluka Street, Black Rock was passed in at $1.7 million. Its asking price is now set at $1.795 million.

Hampton fared better: all but one of the eight scheduled auctions selling.

The highest on the day was 60 Mills Street, Hampton, a well located property on compact land (592 sq m) which sold for $1.6 million, just shading 33 The Avenue which sold prior for $1.55 million.

16 Tennyson Street, Sandringham, a brick home on generous land of 1022 sq m, reached $1,861,000 after being estimated at $1.6-1.7 million.

3A Bamfield Street, Sandringham was reported passed in with no bids. There was a later offer of $1.6 million but with a reserve of $1.825 million, there’s still a big gap to bridge.

Next weekend stretches to four days and not a lot of real estate action. Agents will be taking a breather or trying to tie up their swags of passed-in properties. We, as usual, will be ready to take your calls.

Damian Taylor

M&K in the News:

Plenty of stock for Melbourne auctions – The Australian Financial Review Oct 26 (subscription required) There were aspects of Melbourne’s market “which made it as active as any time in the past 25 years”, buyers’ agent David Morrell said…

Depth of demand at biggest auction weekend – The Age Businessday, Oct 26 – ”It’s not as heady as it seems,” said buyer’s advocate David Morrell, of Morrell and Koren. ”It’s very property-specific and even some deceased estates are being passed in.”

Rate rise tipped after ‘hot’ auctions - The Age – Oct 25 – ”It was as hot and determined a market as I’ve seen in my 28 years in real estate,” said Christopher Koren, director of buyers’ advocacy group Morrell …

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What a difference a year can make. From last October’s TET:

Monday, October 13th, 2008

A bunch of years ago, Bob Dylan wrote The Times, They Are A Changin’. He could have been singing of now; as we write, banks are going “Whoops”, Governments are going “Oh bother”, car dealers are saying “Where is everyone?”, shops, travel agents and hotels are all loitering like barristers without briefs…

Today? More choice and more bidders than you’ll find roses at Flemington.

Something akin to Cup fever found five to eight bidders competing wherever a property ticked all the boxes, meaning there are four to seven people who are ready to buy and still looking; which suggests that this market is not about to fall at the first fence.

And yet, and yet …

That story has not been illustrated so clearly at the top end. Above around $5 million, it’s mostly an off-market world and there life is more considered; even if recent results have been more patchy.

It’s the $2-4 million bracket which is most public in enjoying its moment in the sun. There’s huge competition – both local and off-shore (although that is becoming less so as the exchange rate rises) – among people who want to move into the family home before the start of the next school year. Hawthorn, Malvern, Armadale and Kew are heading for the sky.

Usually the non-cognoscenti are offered only a glimpse at an occasional auction (over the weekend 55 Clowes Street, South Yarra, one of the best streets South Yarra can offer, was passed in on a vendor bid of $4.6 million with a $5 million reserve – no multiple bidders to be seen), yet the stratosphere is now looking forward to an almost-public test:

Miegunyah, 641 Orrong Road, Toorak, is now officially on the market. This is an exceptional property on one of Toorak’s largest remaining estates. There are some heritage issues, yet an original investment of a little shy of $2 million – 20 years ago – now appears likely to yield more than $20 million. A great part of the fascination will be to see who lodges expressions of interest, who wins and what any who lose out do next. There’s still very little choice at this level.

Also coming up – agent yet to be decided – is ‘Dunraven‘ on the corner of Dunraven Avenue and Clendon Road; which may make a desirable alternative.

Last week, while there was a lot of action on the streets, there was even more behind closed doors. Boardroom auctions (we practically invented them) are growing in popularity – we’ve attended four in the past seven days. They’re auctions for the invited, held in estate agents’ boardrooms at a time prior to sheduled auctions. They’re quick, they’re less emotional and often only one member of a couple will be present – with a pre-determined limit and no last-minute emotion-driven $50-100,000 attempted knock-out bids. For vendors there’s certainty without the stress of a public auction. For buyers there’s the prospect of significant savings.

Out in those streets?

The hot spot was 24 Hume Street, Armadale. Single fronted Victorian weatherboard, on the south side, no car parking. While it had a sensible reserve of $1,050,000, it sold for an incredible $1,360,000. Eight bidders and 30% above expectations. Emotion rules.

And not just in Armadale. Most auctions had the zing that vendors and agents crave.

221 Beaconsfield Parade sold for a remarkable $4,610,000.

Even in leafy Canterbury, 13 Avenue Athol, a good family home – but not that big and should have sold for around $2 million – gasped to $2,280,000; which has made some of our nearby purchases look very prudent.

Next weekend: the big one. It doesn’t get any bigger.

The buyers are there, the properties are there (although not as many at the top end as we would like) and there’s a horde of agents anxious to strut their stuff.

Cautions are in order:

• vendors, greed is not good; and may trip you.
• buyers, beware the lemon; and while you should not assume you face an ever-rising market, you will need to move smartly if you plan to avoid the end-of-year lull

And keep an eye on exchange rates. They are influencing overseas and expat buyers; especially toward the top end.

A final thought:

5 Rostill Court Toorak. Passed in at $2.320 million. Its reserve is $2.5 million. Hmmm.

David Morrell

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Bayside: The other Brighton shines

Brighton East was the centre of most Bayside action during the week and over the weekend.

The standout on Saturday was 7 Cluden Street, a new townhouse of 350 sq m on about 534 sq m of north-facing land – and its equally new twin at 7A Cluden Street. The pre-auction tip was in the high single millions, but when two determined bidders face off, anything can happen; and did. Bids and glowers exchanged until the tension snapped and the auctioneer knocked it down for $2.2 million. One happy buyer, one unhappy losing bidder. The gleeful auctioneer then collared the unhappy losing bidder and quietly slipped him through the twin next door. Within 10 minutes, the unhappy losing bidder says “OK” and gets an instant $50,000 discount. All happy.

1 Regent Street, a period style attic weatherboard on 923 sq m was quoted in a range up to $1.35 million. Following an embarrassing level of interest, that expectation was ramped up to $1.5 million or thereabouts before steady bidding from several parties took it to a heady $1.75 million. A high-profile local agent then threw in a killer bid of $100,000 on behalf of a client, only to miss out moments later when it was knocked down for $1.853 million. Underquoting by agent or bidders’ moments of madness?

At 20 Letchworth Avenue, 655 sq m of land, propelled by several determined buyers, sailed past its $850,000 reserve to sell for $1,006,000. Another land-only sale at 6 Sara Avenue confirmed everybody wants the precious commodity when a smaller site (610 sq m) sold under the hammer for $1,003,000.

However an occasional “reasonable buy” stills appears even in this heated market.

29 Canberra Grove, a signature East Brighton location, passed in at $1,410,000. It’s a big two-storey family home with five bedrooms and four bathrooms plus a pool and on almost 800 sq m of established gardens. A little bit of fine tuning would do wonders for it and at a guessestimated reserve (it wasn’t published) of around $1.55 million, it would be a lot of house for the money.

A private sale transaction was negotiated for 19 Lansdown Street. A fully renovated and extended California bungalow on 700 sq m, it sold for $1.48 million

10 Milliara Grove, reported last week as passed in, has since sold for $1.385 million.

Hampton had a busy week on the private sale front.

19 Littlewood Street (sorry, no link), on 800 sq m, changed hands for $1,475,000

42A Crisp Street sold after auction for $1,275,000.

17 David Street, a 7 room weatherboard on 720 sq m, sold for $1,240,000

20 Orlando Street, a contemporary house on a 588 sq m site one block back from the beach, also sold this week. Due for auction next Saturday, an offer of $2,225,000 was enough to put asn end to that.

In Sandringham’s blue-chip Keats Street, number 6, a typical brick home with 8 main rooms on 750 sq m., sold at auction for $1,780,000.

Bentleigh? Another yawn. 100% clearance. All nine sold.

The standout result was 3 Hamilton Street, a weatherboard house on 750 sq m which sold for $1,126,000

86 Mitchell Street, similar land but a brick veneer house, brought $1,020,000.

Not so long ago a million dollar sale in Bentleigh would have made headlines. No more. And even these numbers are tipped to rise as home owners have the confidence to extensively renovate or to build anew without fear of overcapitalising.

Next weekend? Over 1,000 auctions due. A marathon. We’ve been training for days.

In the face of those numbers, can the 80%+ clearance rates hold?

Damian Taylor

M&K in the News:

Sale of Toorak’s grand mansions to smash records – The Age, Oct 19 – Buyers’ advocate Christopher Koren said the public offering of two historic estates – both of which he described as ”big enough to graze sheep on” – was a rarity…

This could be our most expensive home - Herald Sun – Oct 19 Buyers advocate David Morrell said the property would most likely be sold to a local because overseas buyers had been scared off by the surging Australian …

Melbourne’s best tipped at $17m-plus. 14 October 2009 | The Australian Financial Review (subscription required) | …Buyers Advocate David Morrell said his international clients were voicing concern over currency…”

Signs of life at upper end of real estate market – 14 October 2009 | The Australian Financial Review (subscription required) “… pent-up demand, combined with economic optimism, was pushing up prices in the $1 million  to $5 million bracket, Mr Morrell said.”

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Up here at the top end, interest rate rises or falls typically have only muted effect. Over the weekend, that effect was not only muted, it wasn’t heard at all; drowned in a deafening chorus of bidding. Anything AAA had four or five bidders prepared to pay premiums for the keys to the door.

Given that this market has only weeks to run before entering a hiatus which will last ’til March, some anxiety was to be expected. Apparently outrageous prices paid now may look like value then.

When supply is limited and quality is as rare as chooks’ dentures, even lemons can fly. (Mangled metaphores? We can do those.)

We can also take you to see five or six houses priced at $15 million and over … which are worth every cent of $10 million. They have vendors happy to do nothing but wait for those people Mr Barnum may have suggested were born every minute. Punters in town for the horses who may pick up a property in an idle moment?

That’s a hope which may be misplaced; we’re sensing dismay among some of our overseas clients: they’re not affected by interest rates – what’s concerning them is exchange rates.

All this is despite the large number of houses listed for sale. It’s the quality, people, the quality. There’s just not enough of it around.

Only Melbourne? No longer. Following the precedent of swine flu, the virus has now spread to SYD. Look, for example, at a single-fronted house in Bondi. Eleven (!) bidders took it to 20% above reserve. A quick scoot over to Double Bay found five people prepared to pay 10% over.

2007, anyone?

And then there’s a paradox: in the sub-$1 million market there are people praying for interest rate rises to bring prices down somewhere closer to the stratosphere.

Last week? Notable amid the heady aroma of lemons was the persistence award won by Kay & Burton: after an 8-month campaign, Gordon Grove, South Yarra (advertised at around $6 million) sold at last. $5.3 million. Commission hard-earned.

How fast has this market moved? You could look no further than 2 Beaver Street, Malvern. A Year ago, it sold for just over $2 million. Last weekend it was quoted at $2.1 million and two bidders pushed it to $2,420,000. Has the market really risen 20% in 12 months? We don’t think so. Ouch.

9 Millicent Avenue, Toorak, a double-fronted Victorian which lacks good bedroom accommodation sold before auction for $4,250,000, which is a healthy price for a 3-bedroom house.

In the Cinderella belt, 51 McGregor Street, Albert Park did not lack invitations to the ball: three bidders took it to $2,227,000.

All the auctions we attended had solid bidding and only one passed in. While there are still more people ready to raise their hands than there are properties available, this looks like a market which still has a way to run. If that continues to the huge weekend of October 24/25, you’ll be seeing estate agents’ whitened teeth all agrin ’til Christmas.

Shudder.

David Morrell

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Bayside: Brighton. And more Brighton.

Most of the week?s action in Bayside centred on … Brighton. Over 20 sales were made.

While auction numbers are building towards the mega weekend of October 24/25, it was the strong number of private sales that bolstered the numbers – particularly apartment sales.

Long regarded as an area largely devoid of apartment developments, the landscape in Brighton is undergoing a quiet change as buyers slowly embrace the notion of stacked living.

Of the 13 sales recorded in Brighton proper, more than half were new or as-new apartments; ranging in price from $600,000 for 4/10 Warleigh Grove to $2,240,000 for 1/11 Well Street in the new Avignon development.

Nearer to Bay Street, a yet to be built apartment development at 30 Willansby Avenue has, since the end of August, recorded nine sales off the plan; all at prices at or over $10,000/sq m. The latest sale this week was for apartment 8. Even at a modest 129 sq m, it still sold for $1,300,000 – around $10,000/sq m. It?s smaller cousin, apartment 22, an even more modest 77 sq m, sold for $840,000 or $11,000/sq m.

The sale during the week of 15 Well Street for $3.7 million will see more apartment construction activity in the Church Street precinct. As reported last week, this vacant site has plans and permits for another 10 apartments in what is becoming a somewhat crowded part of Well Street.

17 Albert Street, Brighton sold 18 months ago for a price in the vicinity of $4.3 million, just before the meltdown occasioned by the GFC. Just how far the market has recovered was illustrated at its auction on Saturday: two bidders gently took the price back up to exactly $4.3 million before it was passed in. Discussions continue.

4 Orchard Street was listed for auction last weekend, but a Godfather offer of $2.95 million was made during the week and a sold sticker appeared on the board. Agent and vendor no doubt both pleased and relieved.

East Brighton had strong results across the board.

The standout was 29 Glencairn Avenue, an 8 room brick veneer on 716 sq m land which sold for $1.95 million, just pipping 2 Canberra Grove for top honours; it sold for $1.83 million.

5 Curley Street changed hands for $1.18 million, 18 Lubrano Street, on the other side of the highway, reached a respectable $1.3 million.

19 Ward Street attracted a prior offer of $1.25 million. Contracts were exchanged on the spot.

10 Milliara Grove is still looking for a new owner. With all the right accommodation and overlooking a park, with a reserve $1.4 million, someone will surely fall in love with it.

Elsewhere in Bayside, 70 Holyrood Street, Hampton, a weatherboard house requiring the works, on 800 sq m, sold for $1,510,000. Nearby, 13 Avelin Street, on much smaller land but done up to the nines, passed in at $1.45 million. An offer of another $20,000 was not enough to entice the vendor and it is back on the market; asking $1.55 million.

As ever, Bentleigh buzzed and recorded another (yawn) 100% clearance: 9 from 9. This high turnover suburb is suffering Spring stock shortage; demand unaffecetd by the interest rate increase.

Until next week …

Damian Taylor

M&K in the news:

Lemons Struggle, but the rest ignore the rate rise. The Australian Financial Review (subscription required)  … buyer’s agent David Morrell noticed no difference. ?Not even a blip on the radar.?

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The Spring real estate racing carnival is off and running – the touts and their vendors are out in force and you can feel the excitement in the air.

But.

But where’s the quality? At the top end, it’s as if the Melbourne Cup were being run with a country race field. Out of 10 supposedly top-enders we saw on Saturday, there’s only one we would consider.

It’s not only the expected prices, it’s the lack of good homes that work. At auctions there’s a surfeit of the over-priced ordinary, ordinary, ordinary while a number of languishing expressions of interest endeavours appear closer to gullibility tests: yes, there is some quality on offer, but at prices which suggest only fools will rush in.

Quality, especially at $2-2.5 million, is in high demand; but even in the face of a still-rising market, buyer resistance is growing when all the boxes are not ticked.

Bargains? There are some which appear so, but almost invariably for reasons which will become painfully apparent after moving in – and especially painfully when wishing to move out. Nightmares are made of this.

Meanwhile, up in the stratosphere:

• A local identity paid $15 million for a penthouse at the Melburnian. We tips our lids. A triumph of marketing over value. (Knowing what else may have been bought for that sort of money does give us a different perspective.)
• 2-4 Clendon Court, puzzlingly, sold before auction for $4-ish million. At around $550/foot, that’s about right. The puzzle is why, in this market, it was not taken to auction.
• 57 Union Street, Armadale, a double-fronted Edwardian, sold to a local real estate identity for $2,360,000, suggesting everyone else must have still been on holidays.

School holiday transactions have been, as expected, mostly off-market. A pleasant surprise has been some new agents entering the field with realistic expectations and an understanding of how easy off-market transactions can be for all involved. We hope it continues.

The war. Let us mention the war.

Our victory speech remains in the drawer, but if the war on underquoting is not yet won, there have at least been some encouraging battles fought. Welcome to the fray (at last!) Consumer Affairs Victoria. Penalties are yet to be decided, but agents are at last cleaning up their acts and that’s a welcome change which works for everyone – agents included.

The crystal ball?

There are still many people wanting to buy. They’re about to be met – especially on October 24/25 – by a great many people wanting to sell. If nothing else changes, while those forces remain roughly equal, don’t expect a huge move in prices.

Nothing else may include interest rates, overseas interest, the herd instinct…

Who are you backing in the Cup?

David Morrell

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Bayside: Spring. It’s official.

The official Spring selling season is now off and running. Petty distractions such as school holidays and a football game are now behind us.

Stock levels are still relatively meagre for what is traditionally the strongest time of the year to sell. This can only extend the bull market of the past four or five months; the threat of rising interest rates is being shrugged off by buyers keen to secure a property in what is a very competitive market.

While the focus is on the number of auctions and the high clearance rates (80%+ if you can believe the REIV), the strength of the current market is most clearly demonstrated by the number of private sales taking place: around twice as many properties are sold privately as at auction.

What a difference 12 months can make.

You will not win any popularity contests by suggesting that there is a force such as gravity. The current sentiment is that the roller-coaster has left the station and you should just hold on tight and enjoy the ride.

2010? Interest rates? They’re tunnels we can’t even see. Yet.

But for this Spring, Bayside’s opening innings was … solid:

• 24 Glenwood Avenue, Beaumaris was the highest reported auction result. A well built and finished 8-room brick veneer on 785 sq m, it sold for $1.824 million.
• 10 Wells Road, nearby, with similar accommodation and land but not as up to date, was good buying at $1.25 million.
• 2 Bruce Street sold privately for $1.34 million.
• 2 Tramway Parade was passed in at auction over two months ago. It sold last week for $2.18 million.
• 5/333 Beach Road, a stunning apartment with sweeping bay views in quietly conservative Black Rock, sold privately for $1.42 million.
• In Brighton, a land-value sale at 8 Higinbotham Street brought $1.745 million
• 4/9 St Ninians Court an apartment in The Golden Mile, has been sold for $2.9 million.
• 77 Well Street New. Edgy. A townhouse with initial expections in an optimistic high $2 million. A nanosecond after 90 and 90A Male Street sold for $3.05 million each, that was upped to around $3 million. And then came a buyer with up to $5 million to spend who thought it value at $3.3 million; which was eagerly accepted. Is another new Ferrari about to burble along Brighton?s streets?

Brighton offered Bayside’s most expensive property on the day, but the only bid was the auctioneer’s. 15 Well Street is a vacant 1000 sq m allotment with approved plans and permits for 10 apartments in the high density residential precinct immediately behind Church Street. The opening and closing bid on the vendor?s behalf was $3.5 million, with pre-auction expectations closer to $4 million. Common ground will no doubt be found.

Coming up …

October 24/25. Over a thousand auctions are sheduled. Half the town will be buying, selling or watching. Unbelievable.

Damian Taylor

M&K in the News:

What time is it in your state? NEWS.com.au - ”Sometimes in a movie the clock spins around 24 hours in a few seconds ? well, that’s Melbourne,” buyer’s advocate Christopher Koren from Morrell and Koren …

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