Budget-minded buyers can raise a glass to falling house prices in Melbourne’s exclusive suburbs, which have become easier to break into.
Properties in the city’s “champagne suburbs” can now be bought on a “beer budget” thanks to recent price drops, a new report says.
The Herron Todd White analysis shows some blue-chip ‘burbs had experienced significant price declines and many quality family homes were selling below the sales median.
16 Power St in Hawthorn sold for $2.065 million.
The suburb’s median sale price has dropped to $2.2175 million.
Herron Todd White Melbourne director Perron King said the softer market had opened the door to suburbs like Hawthorn and Carlton for an increasing number of buyers.
“Cosmopolitan suburbs have actually been some of the worst performers during the downturn, but in the long-run they will provide great value,” Mr King said.
“With limited buyers and prices dropping, this is an opportunity that’s never been better.”
Hawthorn, Kew and Camberwell had seen prices drop by 12 to 15 per cent since the market peaked in late 2017, the report found.
19 Horne St, Brunswick sold for $1.55 million in May 2016.
It sold again late last year for $1.365 million.
Brunswick, Carlton and Northcote were identified as some of the best investment options for buyers in the inner-north, with prices dropping about 10 per cent since their peak.
Jellis Craig Brunswick director Rob Elsom said families should take the opportunity to buy north, with more schools opening in the area.
“There’s a lot of demand at the moment because more people have started catching on to the area being competitively priced,” Mr Elsom said.
“The lifestyle on offer in each of these suburbs is obvious, with great street shopping strips that speak for themselves.”
22 McLauchlin Ave, Sandringham is for sale for $1.65-$1.725 million.
Inside the immaculate property.
Sandringham and Black Rock were highlighted as other top choices for savvy buyers.
Mr King said it was a great time to buy family houses, knockdown properties and units.
“First-home buyers should be circling Brunswick, young families and professional couples can be looking out east,” he said.
“And families looking to upgrade and get that bit closer to town should do their best to make it happen now.”
Sandringham was highlighted by the report as a suburb that could be broken into.March 23: Jack Boronovskis’ Victorian property wrap
But the report suggests the blue-chip bargains will not last long.
“Victoria’s last quarter was the worst performing since the global financial crisis, but there’s now a slightly more positive outlook on the horizon,” Mr King said.
“We expect it will stay a soft market until the election this year, but we could be seeing green shoots in the market again in 2020.”
This article was first published in www.realestate.com.au. Here is the link to the original article: https://www.realestate.com.au/news/melbournes-champagne-suburbs-for-buyers-on-a-beer-budget/