Bargain property in Hawthorn? Two million dollar discount on luxury home

There are certainly opportunities in the current 2019 market to pay less than the last price.

But is there really such a thing as buying a bargain when it comes to property? And where are they?

This series of articles looks are specific examples of sale price or asking price falling. 

We take a look at where and if possible why this is happening.  

We came across this property for consideration.

A two million dollar discount is on offer for high-profile sport and entertainment manager Ralph Carr’s luxury Hawthorn home.

The grand home at 26 Shakespeare Grove was originally listed for $12 million to $13.2 million but the price guide has now been adjusted to $10 million to $11 million.

Abercromby’s director Jock Langley said the initial expressions of interest campaign did not reach a level that would satisfy vendor expectations.

“We have realigned the assessment of value to reflect where we are confident there is buyer interest,” Mr Langley said.

The Victorian mansion is now going to private auction on August 10.

Carr paid $7.55 million for the sprawling 1,318 sqm property in 2013.

It is up to you to determine if the offering is a truly beneficial bargain.

Remember buying at the bottom of the cycle is fraught – as you can't really precisely pick the bottom nor know just how long until you see some price growth.

Be aware you could be buying a poor quality property in an area with ongoing issues of oversupply of stock.

The oversupply could be also putting downward pressure on rents.

Other price declines could be because the vendor needs a quick sale or paid way over the top on its last purchase chase.

Property Observer suggests property purchasing really does need to be a very well considered proposition with a long term mindset.