The second quarter of 2023 was a true testament to the old property saying “location location location”. Despite media hype around a sluggish market, well-positioned homes in good locations continued to perform well with strong competition from buyers. Renovated/ready-to-move-in properties also did exceptionally well. Off Market Properties in Melbourne, quality will triumph over quantity.
What are the disadvantages of living in Melbourne?
With a flight to quality, there is a real opportunity for homebuyers and investors looking to acquire an A-grade house or apartment in desirable suburbs. However, B-grade apartments are taking longer to sell and informed buyers are avoiding C-grade properties, which have low yields.
Investors should look for family-friendly apartments in lifestyle suburbs that are located close to public transport, schools and amenities. These homes should be well-maintained and have a good floor plan with ample storage space and natural light. Investors should avoid poorly constructed inner city high-rise apartments that have a’shoebox-sized’ living area. These apartments have poor return potential and are likely to become the slums of the future.
In the past year, the Melbourne housing market has shifted towards a seller’s market. With a limited supply and demand, the average home is selling for about 2% below its list price. Buyers are more discerning than ever and expect to get a better deal if they have the right information and the patience to navigate the negotiation process. This is why it’s crucial for buyers to have the right representation when buying a home.