Finance Property Holiday buyers going coastal on long weekend

Holiday buyers going coastal on long weekend

A vendor bid helped a Portsea property become the highest-selling property at the weekend's auctions. Photo: RT Edgar
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With suburban auction offerings to resume with a slow start next Saturday, the long weekend sales activity was concentrated on coastal listings.

The priciest Victorian home on offer was at Portsea with $2.8 million to $3 million hopes, but it was passed in without any bid from buyers.

The modernised five-bedroom, two-bathroom at 50 Franklin Road sits on a 1300-square-metre holding.

Franklin Road’s five-bedroom, three-bathroom property. Photo: RT Edgar
The backyard boasts a spacious deck, pool, cabana and outdoor kitchen. Photo: RT Edgar
The property has undergone a host of renovations in the past five years. Photo: RT Edgar

It last sold for $1.8 million in 2015 with a new kitchen with cool room, and the rear garden pool and cabana among its subsequent renovations.

RT Edgar agent Ilze Moran placed a $2.8 million vendor bid at the onsite auction.

At Blairgowrie, also on Victoria’s Mornington Peninsula, a double block with three-bedroom cottage fetched $975,000.

The 17-19 Ocean Road pre-auction price guidance was $895,000 to $980,000.

A cottage on a double block at Blairgowrie sold for $975,000. Photo: hockingstuart

A colourfully painted Rye boat shed made a splash in the weekend sales.

Located on Rye Foreshore, the boat shed was made available for the first time in more than 35 years.

A colourful boat shed sold at Rye on the Mornington Peninsula. Photo: O’Brien Real Estate

O’Brien Real Estate agent Mathew Blakely had given a price guide of $120,000 to $130,000.

On NSW’s Jervis Bay, a Callala Beach cottage with new external cladding sold for $595,000. It had last sold in 1998 for $65,000.

A beach house in NSW changed hands for the first time in 20 years. Photo: Property One

The three-bedroom cottage, located 200 metres from the beach, had been listed with $630,000 hopes.

“Spend summers waking up to the sound of waves,” Property One agent Cassandra Preston said.

At Yamba on the NSW far north coast, Atherstone cottage was sold for $1.81 million through Ray White agent Daniel Kelly.

The Yamba Hill four-bedroom, three-bathroom holiday home was offered to the market for the first time since 1981.

Atherstone was offered for sale for the first time since the 1980s. Photo: Ray White
The holiday home is a short stroll from the beach. Photo: Ray White

Mr Kelly advised there had been more than 200 inspections, with the 13 registered bidders placing 42 bids.

A $4.9 million Mermaid Beach, Gold Coast sale was struck on Friday afternoon before the long weekend.

The 215 Hedges Avenue offering had been in the same family since the late 1950s.

A Mermaid Beach property started off the weekend of sales, going for $4.9 million on Friday. Photo: The Agency

The 405-square-metre corner block was offered through The Agency’s John Natoli, who had a $5.3 million price guide.

The Gold Coast has about 100 auction offerings going under the hammer on Monday in Ray White Surfers Paradise’s 24th annual big January auction, The Event.

“This year’s could be the most interesting so far,” Andrew Bell said, chief executive officer of Ray White Surfers Paradise Group.

“We’re holding The Event on a Monday for the first time, taking advantage of the full long weekend to give prospective buyers more time to view properties ahead of the auction.”

The apartment at 610/22 Surf Parade at Broadbeach is part of The Event on Monday. Photo: Ray White

He noted changes to negative gearing property rules expected under a potential new Labor government was uppermost in investors’ minds.

“We have no doubt that investors who depend on the negative gearing rules that exist today will be looking closely at established properties.

“We’re expecting more buyers to take advantage of the proposed grandfathering provisions for negative gearing of established properties ahead of any official changes to the regulations.”

One property being taken to The Event is 610/22 Surf Parade, Broadbeach, a two-bedroom, two-bathroom apartment with city and hinterland views.

The 93-square-metre unit has an estimated weekly rental income of $468 per week.

It outgoings for body corporate are $5970 per year, the GCCC rates are $3570 per year and GCCC water fees are $1775 per year. It was last sold in 2006 for $485,000.

The 93-square-metre apartment features on Monday. Photo: Ray White

The national auction clearance rate finished 2018 weakening.

The last quarter saw the success rate fall to 43.6 per cent, compared to 62.3 per cent the previous year, CoreLogic reported.

It was down from 53.6 per cent over the September 2018 quarter.

The lowest weekly clearance rate for the quarter was recorded over the week ending December 16 (40 per cent across 2406 auctions).

Individual capital cities saw a decline in clearance rates everywhere except Tasmania, which remained unchanged at 50 per cent.

The largest fall in clearance rates was seen across Canberra (down 13.4 per cent from the previous quarter), followed by Adelaide (down 12.2 per cent), Perth (down 11.9 per cent) and Melbourne (down 11.2 per cent).

Auction activity rose over the December quarter with 25,894 homes taken to auction across the combined capital cities. It was 20,653 over the September quarter, but volumes were much lower than the December quarter in 2017, when 32,408 homes were taken to auction.

Capital city December quarter auction clearance rate and volumes:
Sydney: 43.1% (8828 auctions)
Melbourne: 45.4% (12,372 auctions)
Brisbane: 31.8% (1642 auctions)
Adelaide: 48.5% (1423 auctions)
Perth: 25.0% (499 auctions)
Tasmania: 50.0% (40 auctions)
Canberra: 46.9% (1090 auctions)
Combined capitals: 43.6% (25,894 auctions)

Outside the capitals, the largest fall in clearance rates was seen across the Hunter region, down 18.8 per cent over the quarter, followed by Geelong (down 17.3 per cent), Wollongong (down 10.2 per cent), Gold Coast (down 5.9 per cent) and the Sunshine Coast (down 3.1 per cent).

Jonathan Chancellor is editor at large at Property Observer