Melbourne's prestige auction results turn awful

Melbourne's prestige auction results turn awful
Melbourne's prestige auction results turn awful

A leading Melbourne buyers' agent Mal James described the weekend Melbourne prestige auction results as "awful."

The agency attended 33 auctions, with only four houses sold, meaning, he suggested, that prices are continuing to fall.

"27 of the 33 auctions we covered had zero or one bidder," James said.
 
"One or less is not an auction – it’s a charade."
 
The Bayside offerings were "holding up surprisingly well .....but Boroondara's Scotch Hill was like a cemetery."
 
An auction offering at 64-66 Berkeley Street, Hawthorn (pictured above), with a price guide of $8.7 million to $9.5 million, passed in on a vendor bid of $8.3 million, with no bids.
 
The Marshall White marketing said the three level home had a distinctive, vine-clad Mount Gambier limestone facade over two titles.
 
"It represented the pinnacle of Scotch Hill living and entertaining," agent James Tostevin suggested.
 
There was also an unsuccessful auction five doors away at 54 Berkeley Street. It now has a $2,975,000 asking price, having had a $3 million to $3.3 million pre-auction price guide through Jellis Craig.
 
Melbourne's top disclosed sale was in South Yarra, where a four bedroom 1920s home was only sold after auction.
 
The 5 Gordon Grove offering was sold for $4 million having been passed in at $3.925 million, the only bid after the opening $3.9 million vendor bid.
 
The pre-auction price guide had been $3.9 million to $4.29 million.
 
There was an undisclosed post-auction sale at South Melbourne where the property was passed in on its only bid of $4.95 million.
 
The 46 Howe Crescent auction vibe was described as "quiet" by one buyers' agent. 
 
The price guide had been $5 million to $5.5 million.
 
The renovated Hazelwood Terrace offering dates back to its 1864 design by Charles Webb, the architect of the Hotel Windsor.
 
There had been an update by Anna Vaughan Architects.
 
The highest auction sale in Sydney a house at 8 Braeside St, Wahroonga, which sold for $5.02 million through Chadwick Real Estate agent Lynette Malcolm.
 
Set on almost 2,000sqm of gardens, the double brick five bedroom P&O-style home had 409 sqm of internal living space. There was oversized double lock-up garage designed to house a boat.
 
Sydney's next highest sale was 69A Drumalbyn Road, Bellevue Hill which sold for $5 million through PPD Real Estate.
 
Melbourne's prestige auction results turn awful
 
There were fewer capital city homes taken to auction week-on-week and year-on-year, Corelogic noted.
 
There were 2,204 capital city homes taken to auction returning a preliminary clearance rate of 55 per cent.
 
It was slightly lower than last week’s 2,293 auctions, which was the busiest week so far this year.
 
Volumes are significantly lower than the 3,026 homes taken to auction over the same week in 2018.
 
"Given the combined capital cities posted another month on month decline in home values in February, its expected vendors will remain reluctant to auction their property while selling conditions remain challenging," Corelogic auction analyst Kevin Brogan noted.
 
"Year on year volumes will continue to trend lower throughout the year," he added.
 
Melbourne's preliminary auction clearance rate of 54.9 per cent was recorded across 1,046 auctions this week, up from the 50.6 per cent final clearance rate last week when
volumes were 1,128.
 
Melbourne had the cheapest property reported sold at the weekend, a two bedroom unit at 5/562 Pascoe Vale Road, Pascoe Vale, which fetched $241,000 through O’Brien Real Estate. There had been $200,000 to $220,000 price guidance.
 
It last sold in 2006 at $168,000.
 
There were 799 auctions held in Sydney returning a preliminary auction clearance rate of 61.3 per cent, increasing from the 50.1 per cent final clearance rate last week when 801 Sydney homes were taken to auction.
 
Adelaide was the best performing smaller capital with a 47.9 per cent success rate.
 
There was 44 percent in Canberra and 33 percent in Perth.
 
Brisbane was the weakest performing auction market with only 32.9 per cent of homes selling.
 
Brisbane saw a post-war house on 810 square metres at ALDERLEY sell for $1,015,000.
 
There were nine registered with the opening bid at $915,000 for the tenanted 55 Alderley Avenue.
 
It was a $355 rental in 2015. 

Jonathan Chancellor

Jonathan Chancellor

Jonathan Chancellor is one of our authors. Jonathan has been writing about property since the early 1980s and is editor-at-large of Property Observer.

Tags: 
Melbourne Auction Market

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