Agents are finding consistent demand for luxury properties leading up to and during COVID-19, according to McGrath, Place and Sotheby's International Realty.
Demand for luxury properties has not abated during the COVID-19 pandemic, with many being snapped up after only days on the market, or selling over the reserve at auctions.
At a Glance:
NSW
At McMasters Beach on the Central Coast of New South Wales, Mat Steinwede and Jordan Bulmer of McGrath Terrigal have just sold 79 Marine Parade at auction.
Described as world class coastal luxury on a waterfront oasis, the home has three bedrooms, two bathrooms and stunning headland to headland views.
79 Marine Parade, McMasters Beach sold by Jordan Bulmer and Mat Steiwede of McGrath Terrigal. Photo: McGrath
It was a community affair with many of the neighbours coming to watch the auction.
With an opening bid of $2 million and 7 registered bidders, the auction promised to be interesting to say the least.
After 30 intense minutes of competitive bidding between 4 of the 7 registered bidders, the final sale went to a Sydney-based couple looking to buy a holiday home for $3.25 million.
The vendors are a Sydney-based family who have owned the home for two decades.
Now their children have started university, they found they weren't using the house as much.
Agent Jordan Bulmer said the location was definitely a drawcard.
"Nothing trades in Marine Parade - the properties are all generational so you could wait a decade for something to come up on that road," said Mr Bulmer.
"There's only 20 properties along Marine Parade, it's the bluest of blue chip properties."
Queensland
A record sale price for the bayside area of Brisbane was achieved by McGrath Bayside agents Joseph Lordi and Pamela Neilson
32 Sentinel Court, Raby Bay sold for $8.5 million.
32 Sentinel Court, Raby Bay sold through agents Joseph Lordi and Pamela Neilson of McGrath Bayside. Photo: McGrath
It is also one of the city's top sales of the year, to date.
It is a 5-bedroom, 5-bathroom, 7 car home with large pontoon and private marina.
Its claim to fame is it was architecturally designed and built in 2004 for musician Daniel Jones of Savage Garden who sold it in 2006 for $5,800,000.
Mr Lordi and Ms Neilson negotiated the sale in the week following the August 8 auction after just 43 days on market.
The property ignited widespread interest; seven offers were received before auction.
The successful buyer was local being Brisbane-based.
Previous records for the area include:
$8.4 million in September last year for 95-99 McConnell St, Bulimba
$7.75 million also in 2019 for 39 Griffith St, New Farm
**
In Clayfield, Drew Davies of Place Ascot sold 24 Victoria Parade in a private sale cash unconditional purchase at $3.6 million.
24 Victoria Parade, Clayfield sold through agent Drew Davies of Place. Photo: Place.
"We had listed it back in November, but the market really started heating up just before COVID-19 hit," said Mr Davies to WILLIAMS MEDIA.
A 5-bedroom home with 4 bathrooms, the property is located on 810m2 and has outstanding views of the Brisbane CBD.
"Local buyers bought the house from vendors who were downsizing.
**
Further down on the Gold Coast, Mashelle Jones of Queensland Sotheby's International Realty has finished a marathon sale of two brand new luxury villas, at 53 Cronin Avenue, Main Beach.
Units 1 and 2, 53 Cronin Avenue, Main Beach QLD sold through Mashelle Jones of Queensland Sotheby's International Realty. Photo: Sotheby's
"They were still being built when #2 went to contract in December 2019 and sold to a local couple for $2.35 million," said Ms Jones to WILLIAMS MEDIA.
"#1 sold to a single gentleman for $2.25 million."
Ms Jones and the builder worked tirelessly with the owner, who had to trust them to finish the project as, although a local, he is a pilot who couldn't get home from Hong Kong since the COVID-19 shutdown.
"I was very honoured that he trusted me to get the villas sold," said Ms Jones.
"There was plenty of demand as they are the only new villas left in the village."
Auctions
This week CoreLogic reported the combined capital city preliminary auction clearance rate improved across a higher volume of auctions.
There were 1,163 homes taken to auction over the week, up on the 1,064 the week prior.
Of the 837 results collected so far, 67.7 per cent were reportedly successful, which was higher than last week’s preliminary figure of 64.7 per cent.
Later revising down to 60 per cent at final collection.
Source: CoreLogic
This time last year a higher 1,615 capital city homes were auctioned with a final clearance rate of 70 per cent.
The performance across the two largest capital cities remains mixed as Melbourne saw the lowest number of auctions held since May this week, while Sydney recorded the busiest week for auctions since April.
Preliminary results across Melbourne show just under half of the homes taken to auction this week were successful (49.6 per cent), while the other half were reportedly withdrawn.
This was down slightly on last week’s preliminary figure (50.3 pre cent.
There were 167 auctions scheduled across the city, down on the 222 over the week prior.
Source: CoreLogic
Of the sold results collected, 88.3 per cent sold prior to the scheduled auction date.
One year ago, a much higher 768 Melbourne homes were auctioned, recording a final clearance rate of 74.4 per cent.
The high withdrawal rate against an already low number of scheduled auctions, together with such a high proportion of properties selling prior to the auction event rather than under the hammer, implies vendors have become increasingly reluctant to test the market through the lockdown period.
There were 730 Sydney homes taken to auction this week, returning a preliminary auction clearance rate of 74 per cent.
This was an improvement on last week’s preliminary figure of 71.9 per cent which later revised down to 66.1 per cent at final collection.
In stark contrast to Melbourne, the number of auctions across Sydney has been consistently trending higher, with this week’s auction volume, at 730, the highest the city has held since April.
One year ago, a lower 590 Sydney homes were taken to auction returning a higher final success rate (74.5 per cent).
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