Melton South cheapie sells for $190,000 reflecting 6.16% yield

A three-bedroom house in Melton South was Victoria’s most affordable auction sale over the past weekend, according to Australian Property Monitors.

Located at 4 Wilson Road, the house sold for $190,000 through YPA Estate Agents Melton.

Listing agent Jordan Mandanici told Property Observer the auction attracted about 30 to 40 people, with three bidders.

The successful bidder was an investor.

While Mandanici declined to reveal the reserve price, the initial asking price was listed as “offers in excess of $170,000” according to RP Data records.

Mandanici also said the property market in Melton South is seeing a lot of activity.

“There’s a lot for sale, and there’s not huge growth in terms of prices,” he said.

He added that first-time home buyers and investors were the main people looking to purchase properties in the area.

According to YPA’s estimated asking rent of $225 per week, the price reflects a 6.16% yield.

According to the latest RP Data report, the median sale price for houses in Melton South is $230,000, down 3.5% on last year. The average discount required to sell a house is 8.3%, while private treaty sales average 103 days on market.

The median asking rent for houses in Melton South is $250 per week, while gross rental yield currently stands at 5.7%.