Ever heard that Melbourne’s property market holds opportunities? You bet! We know it might come as a surprise to some, but there are definite pockets within this vibrant city where potential awaits savvy buyers like you.
Understanding Market Dynamics
Here’s the deal: Different segments of the market move at different speeds. Makes sense, right? Why should a cozy one-bedroom apartment appreciate at the same rate as a luxurious $10 million mansion? They cater to different needs and budgets, and thus, their values shift uniquely.
So, Where Are the Opportunities?
It seems like every buyer out there is chasing a well-renovated house, regardless of the price point. These homes, which make up about 3% of the market, are in high demand and often fetch top dollar at auctions, sometimes even exceeding expectations. But let’s be real—that’s just 3% of the market!
The Real Gems
We believe the real opportunities lie elsewhere. Yes, building costs have shot up over the past two years, but they’ve recently stabilized. However, the sentiment around renovations hasn’t caught up yet. This means now might be the perfect time for those with vision and a medium to long-term strategy.
Consider this: Buying the best period-style house in a prime location with good “bones.” It should be in liveable condition, either for you to move into or rent out. Then, when the time is right, you can undertake that renovation or extension and create significant value. The demand for beautifully renovated period-style homes never fades, ensuring you’ll have buyers eager to snap up your transformed property in the future.
“When are the best 3 months each year to buy in Melbourne? October, November and particularly December. Yes to buy, not to sell. Stock levels are through the roof, and the number of buyers don’t ever go up to match.
So what happens? Other than the top 1% of stock, prices soften. Simple. Definitely. Unquestionably. It’s impossible to defy the laws of supply and demand. So get ready!”
– John Sommers
Timing Is Everything
- Sub $2.0 Million: Ideally, make your move before interest rates drop, as this part of the market is more sensitive to rate changes.
- Above $2.0 Million: Less influenced by interest rates, so it’s all about finding the right property when it becomes available.
Need Expert Advice?
For personalized guidance and assistance, feel free to reach out to:
- John Sommers at 0412 787 055
- David McRae at 0407 316 199
Unlock the hidden potential in Melbourne’s property market and make savvy investments that pay off in the long run.
