Insights

This weekend The Age reported that despite the trend to lower auction clearance rates this time of year, results in Melbourne’s inner suburbs exceeded expectations. Properties above $2 million performed particularly strongly.

The article reported that as areas within 10 kilometres of the city are the most advantaged by transport and infrastructure, buyers targeting these areas are buying lifestyles as much as real estate. It is estimated that while Melbourne prices have increased by approximately four per cent in 2014, property prices in Melbourne’s inner suburbs have increased by closer to ten per cent.

The strong performance of inner city suburbs was evident in St Kilda East where Hodges saw six bidders compete for a two-bedroom house at 9 Brunning Street, which ended up selling to a young couple for $841,000 – $260,000 above reserve.

Many commentators believe that as the market has fallen a little, this is an ideal time to buy before it kicks off again next year. There are 1299 metro area auctions scheduled for the next weekend.

To read the full article, click here.

9 Brunning Street, St Kilda East