Prahran a Melbourne auction hotspot as buyers trade down from Toorak
Prahran is one of Melbourne’s auction hotspots, with its 2012 clearance rate running at 75%.
The suburb, which has a good supply of Victorian houses, is attracting buyers who just can’t find anything as affordable in Toorak, Armadale or South Yarra.
''The better streets of Prahran and East Prahran, where there's been some market activity of late, are drawing what we call 'lateral buyers','' Marshall White agent Marcus Chiminello told Fairfax Media.
''They are buyers who are happy to compromise on postcode if they can get similar amenity nearby.''
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RT Edgar agent Jeremy Fox, who sold the top-selling house at the weekend in Prahran, at 4 Grandview Grove (pictured above), says the market appears to be improving.
The house was described as a stunning single-level Italianate Victorian residence renovated and extended under supervision of Carr Design and featuring pool and spa, high ceilings, floor to ceiling glass, return driveway and two street frontages.
With three bidders, the house on 918 square metres fetched $4.57 million, having been listed with initial $4 million-plus hopes. It was announced on the market at $4.32 million, according to the James Buyers Advocates report.
Fox says there are a lot of people trading up their houses now and a lot of people coming from overseas.
Prahran had the highest number of auctions on the weekend, with 13 out of 17 reported results sold, reflecting a 76% weekend clearance rate.
Real estate agency hockingstuart says Prahran will continue to have strong capital growth.