Melbourne price guide lessons from Location Location Location Australia

On this week’s episode of Location Location Location, the theme of the episode focuses on money and budgets.

Host Bryce Holdaway says the Melbourne market has been in the slow lane for the last couple of years, but due to the change in interest rate it now means money is cheap and confidence is high.

{qtube vid:=_4juGXENkqM}

Veronica Morgan is helping single mum Wendy find a property in the inner city with a budget if $1,050,000.

“In Melbourne, quite often the price guides are really hard to work with,” says Holdaway.

“Because sometimes properties can go for 15% to 20% over the lower range of the price guide.

“As you know with Melbourne price guides to get a property for $1,050,000, I have to show her [Wendy] properties in that mid-$800,000 to $900,000 range, because then when it runs away, it will go to her top end of the budget.

“Jumping over that $1 million mark is quite an unusual range, because once people jump over it can run away quite quickly in this competition,” says Holdaway.

Couple Marty and Jude, have a budget of $675,000 and want something that is large enough for a dog and close to the café culture.

After a bit of a hunt, they are presented with a property in Thornbury with an asking price of $640,000 plus for its forthcoming auction.

“I always say you can go about 15% above the lower range to give you a good idea,” says Holdaway – this pushes the price up past $720,000.

“I understand it’s a really scary thing, you have a budget set in your mind and you should honour that, but sometimes it’s worth stretching the budget,” says Holdaway.

Marty and Jude pushed their budget to $780,000.

The property ended up selling under the hammer for over $800,000.

The next episode of Location Location Location airs on Wednesday September 25 on the Lifestyle Channel.

You can read last week’s lessons here.