According to a Dec 2016 Property Observer report , combining new predictions from CoreLogic and Moody’s Analytics, Melbourne’s units and apartments, at the median, are heading for price catch-up from 2017. However, beware, these are “all of Melbourne” figures. There will be out-performing suburbs and precincts where we will buy for our clients, and places where we will not buy, even at the cost of losing a client, as happened in 2016 with a $1M buyer.
We would rather not be involved than have client come back in 2 years telling us how there Off-The-Plan buy is now worth less. This issue of bank valuations “coming up short” is a recurring issue with Off The Plan purchases.
The Property Observer Report said the expected value catch-up is because house values in Melbourne have increased 47 percent over the past four years, while apartment values have risen a relatively muted 23 percent. They comment: “With Melbourne, it is possible that wide- spread expectations of the coming supply of apartments have dampened value growth, and so the increased supply may, in a sense, be already ‘priced in’.”
While Sydney units/apartments are predicted to be the standout in growth over the next 10 years (a very long prediction period) Melbourne ‘s will play catch-up, while Brisbane values will rise, but at slower rate.
If you want “catch the wave” in Melbourne, benefit from our Early Bird Offer. Register with use before Christmas this year, to buy in Q1 2017, and we discount your fee by $1000.
If you would like to buy in Victoria email: mike@strategicbuyersagents.com.au . To buy in Sydney or Brisbane, email me also, and we will set you up with one of our expert buyers agent colleagues in those locations.