St Kilda 45 Havelock: Robert Harvey pleading - but to no avail. Passed In bidderless for $880,000

From Port Melbourne to St Kilda things are very much normal for this time of the year. Something – but not much - is happening. These are Bayside suburbs and sales here are very seasonally orientated.

Of the five auctions we covered this week, three passed in, one sold under the hammer and one after auction. Bidderman was just over 1 but that’s not a hugely meaningful figure this week because, as Michael Szulc of Cayzers puts it, one week we are all chocolates and sell everything, the next week it’s all boiled lollies and lots of pass-ins. On such low numbers it all depends on the stock quality.

There were ten reported residential sales over $1 million this week compared to 25 in the corresponding week in May – or about 40% of the activity now compared to May.

Agent Comments – detailed interview with Michael Szulc of Cayzers

• Pre-auction offers are being considered with 25% of Cayzers auctions currently selling beforehand – admittedly on low numbers, as expected for this time of the year
• Overhang is being mopped up – but less than you think Mal.
• 35% of sales are private
• Sub $1 million properties have cost-prohibitive traditional advertising, but those with just internet advertising are selling just as well
• Prices treading water. Plateau
• I got an interesting answer when I asked Michael why we had such huge stock levels early in the year and his response was the most original one I have heard: With the GFC a number of investors took out 12 month leases. All those leases lapsed about the same time, just as we had come into a significantly better market, and were all put up for sale around the same time.
• Significant drop in activity – but this was largely expected

Highlights

34 Derham St Port Melbourne – a nice little single fronter in not the best part of Port Melbourne.

James Auction Report: Torsten Kasper of Chisholm and Gamon politely rejected an opening bid of $800,000 from the crowd and instead offered a vendor bid of $900,000 to get things going. After a slow but steady start, four genuine bidders entered the fray and a battle ensued to the very end. Rapid-fire bidding from all parties saw the property go on the market at $945,500 and subsequently sell for $1,092,500. It was a subdued crowd with a lot of curious bystanders, but a strong result for Mr Kasper and the Chisholm and Gamon team.

We are looking at 8 auctions in Port Phillip in the coming week.

We only buy homes

Port Melbourne 34 Derham: Best auction of the day. 4 bidders and bought under the hammer for $1,092,500