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62 Addison Street, Elwood, VIC, 3184
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Built in 1972 this style of property is growing in popularity and given the land content and its position in one of <a target="_blank" title="Elwood" href="/news">Elwood'</a>s better streets you would expect buyer interest. Floor plan flexibility is good with most rooms in the right position, what may concern family buyers is the limited two bedrooms. At a pinch you could use the room on the south west corner as a nursery in the short term - long term it size would be an issue if a teenager had to sleep there. The lounge/dining room connects well with the decking and pool beyond and provides good additional entertaining areas. This style of architecture is typified by low ceilings which can restrict light penetration. This is not the case here as there are numerous sky lights, floor to ceiling windows and a centrally positioned light well. You are within walking distance of the beach and all the eclectic shops and cafes in Acland Street, what you don't have is easy access to the train if it was required to get into the CBD. The quote has already started to more north, which is unusal in the current market conditions, suggesting this unique property may appeal to many buyers.
James Buyer Advocates gives this property a rating of 737 out of 1,000, which is in the above average category. Kay &amp; Burton agent Alex Schiavo is marketing the property with $2 million plus hopes. It goes to auction on Saturday, September 10 at 1pm. 
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Elwood family home has wide appeal

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At 6pm last Saturday, the James Clearance Rate for million-dollar-plus properties was 65% on the 26 auctions we attended. This was a solid result on low numbers. At these stock levels we have moved our market indicator back to balanced, however prices are continuing to ease on a number of lesser-quality homes.
Bidderman, our demand indicator, was 2.2 bidders per auction, and although this was inflated by a huge volcano at 29 Rose Street, Armadale (nine bidders) there were two or more bidders at 50% of the auctions we attended. That figure is more indicative of stock shortages than of surging demand.
The demand hasn’t suddenly appeared, it was always there (at the right price on the right home). The current market is all about the increasing shortage of new family home stock right now and in the foreseeable future.
The market has moved from an overall nothing winter market to a two-speed low-stock spring one and during this transition it has dropped in price (with a few exceptions) – courtesy of the share market malaise. If you have an A-grade home and you are priced to market then you are selling strongly and even slightly better than a month ago.  On the other hand, if you have a home that has issues with position, land content or floor plan, then your end sale result is continuing to ease and doesn’t look like getting any better this side of Christmas.
It’s not really good news for buyers as the early spring (before Melbourne Cup) market is going to be one of the leanest for million-dollar-plus transactions in many a long year.
Let’s look at some of our data. We talk often about 100 (in number) million-dollar-plus weekend auctions being a solid benchmark for the inner east and bayside. As we move into spring, when you would expect several weekends to be above that number, we are not seeing any 100+ weekends, let alone Super Saturdays (over, say, 150). Instead we are looking at around 60 this weekend, 80+ next weekend for the first week of footy finals, and 70+ the next. Preliminary final day, at first plance, is looking OK but is not quite a hoped-for or expected Super Saturday.
After that there will be only three weeks between the grand final and the Melbourne Cup, which is throwing a googly at the traditional four-week campaign (you can’t have one), thus delaying more would-be vendors going to market.
And finally this leaves about six weeks after the Melbourne Cup for much of the spring market to get on, get bought and get in/out before Christmas – not a lot of time.
As we said, not all great news for buyers. For those without professional help we are suggesting hard work instead of patience as the solution to managing the stock shortage especially if you “need” to be in a family home before Christmas.
But while the market is weaker on many homes generally, it’s not weaker on good family “trade up” homes. These homes are far removed from the newspaper doom and gloom headlines, and we expect this will continue until more quality stock comes on; hopefully easing prices on these homes and also improving buyer choice. Trading up is a good idea if you can find the one you want and are then able to beat off the hordes of similar thinkers.
Mal James is principal of<a href="https://www.jamesbuyeradvocates.com.au/" title="James Buyer Advocates" target="_blank"> James Buyer Advocates</a>, which advocates on behalf of buyers of property over $1 million. Mal writes weekly auction reports, advice and in-depth market analysis on James' website.</body></html>

A-grade homes will find buyers, but less-than-perfect offerings will struggle in spring

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19 Henrietta Street, Hawthorn, VIC, 3122
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Gee, Mal, how do you give 800 points to a plain Jane? Well, because the characteristics are first rate - big land for Hawthorn and a double fronter with a northern orientation. Quiet location - actually very quiet yet central Hawthorn - could hear little noise in the backyard. Neighbors close but not intrusive. Home sits back on the block.
Good feel as you enter. Floor plan flows well. Front kid's bedrooms work well to bathroom. I like the living areas - they are a good locale to heart of the home. Laundry and parents' retreat section work well - good sunny master bedroom. The home is not built to the highest quality, but you are not buying a trophy home you are buying above. From the front tandem parking - not brilliant but OK. Fiberglass pool. Kitchen cupboards are just OK- need an update. Rear deck is nicely elevated. Possible access to boulevard.
Overall a very, very good family home offering - even if it's not sexy - actually it is sexy because of its land, flow and positional characteristics.  Should attract a fair bit of interest and a number of buyers, even in this market. It will appeal to those approaching $2 million.
- Mal James
Very good property this one. Good feel, functional floor plan, good land size (space is enhanced by fact there is no neighbour over the back fence) and ideal rear orientation. Facade is just OK, street narrow, surrounding properties not brilliant and the pool may turn some people off. We have seen some very strong recently in this Urquhart Estate precinct in the past and regardless of market sentiment this should attract good interest.
- Adam Woledge
James Buyer Advocates gives this property a rating of 800 out of 1000, which puts it in the category of exceptional. It will go to auction on Saturday, September 3 at 11am. Scott Patterson of <a target="_blank" title="Kay &amp; Burton" href="https://www.kayburton.com.au/?page=Page&amp;load=properties&amp;do=view&amp;id=2989201">Kay &amp; Burton South Yarra </a>is marketing the property with price hopes of $1.5 million plus. 
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Hawthorn gem ticks all the right boxes

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As we look back on 2011, Property Observer is republishing some of our most noteworthy stories of the year.
 
The Block was great entertainment – but for me it was also the best reality TV show in a decade because it showed the harsh reality of what happens when you break all the rules in the property investment book.
I took the opportunity to go through each property a few weeks before the auctions and <a target="_blank" title="The Block home ratings" href="https://www.propertyobserver.com.au/victoria/double-fronted-richmond-cottage-set-to-get-the-top-price-but-not-necessarily-the-prize-on-the-block/2011081551159">assessed them according to our James Home Ratings criteria</a>.
What stood out most, apart from the fact that it was a hugely popular show, was how many rules were broken. Breaking those rules led, almost inevitably, to the end result, where only one of the properties sold at auction. The three other houses have since been sold.
Sorry guys, but this was always a disaster in the making. For us though, as viewers, it was an  invaluable lesson in how not to make money through property.
So what did we learn from the show?
Rule No. 1: You make your money when you buy.
If you’re buying as an investment and are hoping to make a profit on the resale, what really matters is not the selling price but how much you pay for the property.
OK, we understand that Channel Nine was more interested in the show’s ratings than the profit it would make on reselling the properties. But the price paid for the initial properties was way too much. Sure, it was a big block, and it had four houses on it, but at an average of about $900,000 per site, plus stamp duties of about $50,000 each, plus holding costs of 6% (another $50,000-plus each), plus the selling-agent fees … Well each home was priced at well over a $1 million before the first contestant even showed up and the first nail was hammered.
Rule No. 2: Buy the best position you can.
This for me was the real killer – the position was a shocker. Yes, the properties are close to all amenities but anything in Richmond is close to all amenities. Have you been down that street at night? It’s scary. Stand in the street or look on Google streetview and do a 360-degree turn – what do you see? Industrial sites, multistorey car parks. And who knows what is going there in the future? What if it’s a panel-beater’s shop and you have the smell of paint thinner in the morning?
There’s a vacant block of land to the west of No. 37 that has recently changed hands for just over $1 million: who knows what will go in there?
Rule No. 3: Consider your target market – before you start!
The properties themselves had some real positives in terms of the land. The northern orientation will bring light and winter warmth into those back living areas. So sure, that’s a tick. They all had good street appeal (tick) and the block widths were above average for the area, meaning the houses could give that feeling of space, which is very important in a home (tick).
However, they all had another huge negative: there was no car parking. Which means that future buyers or renters have to park their cars on the street. So that is going to knock single women,
young married couples, and older couples out of your target market. In fact, just about anybody except students and local lads would have concerns about living here.
Rule No. 4: Don’t overcapitalise.
If you are about to spend $1 million or so even before one sod of earth is turned or one nail is hammered and you want to make a profit, you need to know whether you’re likely to recoup the costs of your renovation – and hopefully more. Otherwise you’re going to end up overcapitalising.
How can you work that out? Well, look around you. What sales evidence was there in The Block area for $1.5 million homes? Zippo. We can tell you this because coincidentally on the same day of The
Block auction we bought a property at auction for a client in Richmond only a few hundred metres away. It was on bigger land, it had car parking and good period features – and we got it for just over $1.2 million. So if $1.5 million is the minimum amount you need to make serious money, but there is little or no sales evidence of properties selling for that amount in the area, don’t buy.
Rule No. 5: Amateurs don’t make money on renos – they make money because they are lucky that the market happens to be in an upwards phase.
Whenever someone tells me they made money on a renovation, I think, well, no, you didn’t. You made money by buying the right house in the first place. They would have made the same, and maybe even more, by doing nothing. It’s the market that makes you money. If the market is not in your favour, most amateur renovators lose money, and The Block confirmed this. The bloke with the vacant block at 35 Cameron Street, Richmond, made more money than all the renovators combined by doing little.
Rule No. 6: Don’t think short term with property unless you like excessive risk.
The Block also highlighted the risks of short-term flipping. Besides the fundamental error in the initial choice, the market was also unkind to the contestants. Which again highlights the short-term risks in property. To buy this year, tart up and flip next year is a strategy fraught with danger and can cost you a packet. Each of these houses lost at least $200,000 if you factor in all costs – and probably lost more.
Rule No. 7: Choose local selling agents who are experienced at your price range – and choose ones who can deal outside the auction process.
The four auctioneers chosen to sell properties are all very good. But it was interesting to note that the only house that sold under the hammer was through a local agent, Russell Cambridge. He is a good operator, as is his partner Sam Davenport, who got the buyers there.
Glen Coutinho is a really good auctioneer but his patch is Hawthorn, which is a different market to Richmond; however, he sold his house at reserve almost immediately afterwards. Well done.
Ruth Roberts is a top auctioneer but better known in Carnegie, however post-auction she got the best house away for $1 million, which is about the right money – well done – $1 million in Richmond in this market with no car park is excellent.
Clayton Smith, a strong local agent, was always up against it having to market the weakest house in terms of floor plan. However, to get $922,000 post-auction for a single-fronter proved two things: he knew more than many of us; and he fought hard for (in our opinion) the best result.
Rule No. 8: Substance v. puffery.
TVs, colours, furniture etc come and go. If you view our online ratings you will notice that we give one point out of 1000 for stuff such as cabling and shower screens. The other 999 points are for land, position and floor plan. And if you’ve learnt one thing from The Block, hopefully it’s that it is the price, property, and positional fundamentals that really count. On all three counts the contestants were doomed even before they started.
Mal James is principal of<a target="_blank" title="James Buyer Advocates" href="https://www.jamesbuyeradvocates.com.au/"> James Buyer Advocates</a>, which advocates on behalf of buyers of property over $1 million. Mal writes weekly auction reports, advice and in-depth market analysis on James' website.
This article originally appeared in <a href="https://www.theweeklyreview.com.au/" title="The Weekly Review" target="_blank">The Weekly Review.</a>
For expert commentary and analysis on lessons to be learnt from property reality TV, <a href="https://register.propertyobserver.com.au/lights-camera-auction/" target="_blank">download our e-book Lights, Camera, Auction!</a> 
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Eight property rules broken by The Block

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6 Walter Street, South Yarra, VIC, 3141
The home has been beautifully renovated, blending the period style with a modern extension. Although the renovation is around 10 years old, the house overall has been very well maintained and much of the design intent so clever that it has not dated overly.
There is a lot to like about this property. The floor plan is flexible, with most rooms in the right position. There is a good zoning with separate living areas, which may be ideal for families with children. The home offers good storage and good-quality finishes and fixtures.
Despite the southern exposition, skylights have been smartly incorporated to take advantage of natural light. Some may find the internal courtyard not ideal for entertaining, although it's position is prime and assists with the spatial indoor feel.  Garaging at the rear is very good via Hawksburn Close and it also provides good storage. Location here is very good - walking distance to Toorak Road, Chapel Street and Hawksburn Village, and being within a cul-de-sac traffic flow is minimal.
- Adam Woledge
This is a home that gets me going - in a cul de sac, so no traffic, despite being a great location. The home itself is not about the façade or even the front few rooms, which are perfectly acceptable but nothing special. Where the home shines is to the rear - brilliantly designed renovation to take in the light (it is south facing, but your couldn't tell) - to also give a real sense of space (between living areas) while still feeling connected to each other and the upstairs study and then separate master really works well - all this on top of a double garage and excellent rear car access - this is a real gem for a modern family or couple and worth a premium over the norm.
- Mal James
The property is being marketed by <a href="https://www.kayburton.com.au/" title="Kay &amp; Burton" target="_blank">Kay &amp; Burton</a> agent Chris Alcock with price hopes of $2.1 million plus. It will go to auction on Saturday, August 27 at noon.
James Buyer Advocates gives this home a rating of 719 out of 1,000, which is in the Well Above Average Category. 
Adam Woledge is a registered architect and principal buyer advocate of <a href="https://www.james.net.au/" title="James Buyer Advocates" target="_blank">James Buyer Advocates.</a> Mal James is principal buyer advocate of James Buyer Advocates. James offers home ratings, market updates and buyer updates on its website.
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Seamless blend of old and new in South Yarra

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Each week as we go through the inbox we come across a number of what we  call “love letters” from sellers who in no uncertain terms question our parentage and suggest that our eyesight and perceptions are slightly below that of an umpire in a losing Collingwood game.
In a buyers’ market there are new people to "hate" other than selling agents and they are – wait for it – buyer agents or advocates.
But please wipe those tears from your eyes, as our job is basically a joyous one where you meet a lot of exciting people, walk through some incredible houses, have coffee with the wife, spend more than the husband wanted to and get paid a healthy living to do so – or so it seems to some.
Seriously though, when some sellers read a less than perfectly clean bill of health, such as a rating, on their property they go into an emotional frenzy and think abusive phone calls, legal action and threats.
But really, does balanced comment that may include a few negatives actually damage a home sale?
Does it actually result in fewer buyers, and necessarily lead to a lower price on the home – or does it in fact result in a higher price?
Think about it: how do we as buyer agents actually buy homes for our clients? We in fact buy homes by paying the highest price. If we pay the highest price are we not a positive factor for the seller?
How are we the enemy, even if we do point out the negatives (as part of a balanced report), if we pay the highest price to you the seller?
Do you think our role as buyer agents is just to highlight the positives of a home? Do you think we earn a living by acting for hundreds of professional people with millions of dollars to spend by exaggerating the positives and hiding any negatives a seller’s home may have?
Most buyers engage us because they want to make good decisions but they accept that there is no such thing as a perfect home – so therefore most purchases are made in the knowledge of some negatives.
Buyers feel more comfortable when they have all the facts in front of them, when “unknowns” have become “knowns” – and they do stretch further than when they have only half the story (the positives)
Take a home on a main road. A main road may be a negative in terms of noise and traffic and car access. But it can also be a positive, as long as the price is right, as it allows buyers to buy into an area they may not otherwise have been able to afford.
A number of houses perform better in this market when they are marketed by a skilled selling agent who presents facts in a way that counteracted negatives, rather than by a poor agent who hides them hoping  buyers won’t notice.
You might say that is just wordgames. After all, why would someone use an advocate if it wasn’t to get a lower price? True, we do lower prices. At times.
But in our experience any lowering we achieve is when sellers were expecting a price above what the market was prepared to pay – otherwise somebody else buys it!
So yes in a falling market, we consider price, if it is above market – but our primary focus is convincing a client to buy a good home that meets their needs.
And in a rising market or when we are looking at an exceptional home most of our effort is getting the client to the right level to compete and that in fact may be up not down on their current position.
Next time as a seller you have to deal with a quality buyer agent, please consider that although we are working for the buyer, that may in fact be in your best interests if you have a well-priced, quality home and a skilled selling agent acting for you. And if you don’t, we still may be your best bet in a few months when after a couple of price drops you do have a quality well priced home to sell.
Mal James is principal of<a target="_blank" title="James Buyer Advocates" href="https://www.jamesbuyeradvocates.com.au/"> James Buyer Advocates</a>, which advocates on behalf of buyers of property over $1 million. Mal writes weekly auction reports, advice and in-depth market analysis on James' website.
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Buyers' agents are not the bad guys

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30 Mangarra Road, Canterbury, VIC, 3126
No question markers over locale – fringe Canterbury Golden Mile. I find these type of homes a trifle soulless, but that is a personal thing - however as things go this is one of the better versions of the modern reproduction home.
Good proportions and well positioned, with formal to front and casual living areas to rear. I like the fact you can enter the home from the garage place to drop off junk, or it could serve as a home office. Garage tight at six metres without being small.
For the size of the home no backyard may be an issue, but the courtyard it does have is well positioned to the kitchen and both entertaining areas – ideal for parties and as well brings in light. Of course you also don't need to mow.
Parquetry flooring at the rear seems as solid as I have seen and works well – the kitchen is high quality but uninspiring and the laundry to the side works well for a modern multitasking home husband or wife. Upstairs via a sweeping quality staircase leads you to a master and ensuite not lacking in size and three other good-sized bedrooms, one with ensuite and the other two sharing the third bathroom plus a good-sized nook for children to gather in. No negatives here on this level.
Overall this home is a lot better than the first impressions I got from the street for what it is – it's an above-average home built to be loved.
– Mal James
Quite a good builder-spec home thathas a functional floor plan and will be fine for those who do not need a large, lawned backyard space and/or a bedroom downstairs.
Mangarra can carry cut-through traffic around school pick-up times (from Canterbury Girls, Camberwell Grammar) and being a little on the narrow side and near the bend is not ideal – that said, this is special part of Canterbury. The quality of the build here is good and this home has been quite well maintained – the outlook/privacy from the ensuite is special and north-facing glass plentiful.
– Adam Woledge
James Buyer Advocates gives this property a rating of 735 out of 1,000, which puts it in the Well Above Average category. It will be auctioned by <a href="https://www.marshallwhite.com.au/index.cfm?pageCall=property&amp;propertyID=1808229&amp;rssLink=true" title="Marshall White" target="_blank">Marshall White</a> agent James Tostevin on Saturday, August 20 at 12.30pm. Tostevin has price hopes of $2.8 million plus for the property.
Adam Woledge is a registered architect and principal buyer advocate at <a target="_blank" title="James Buyer Advocates" href="https://www.james.net.au/">James Buyer Advocates</a>. Mal James is principal buyer advocate at James Buyer Advocates, which includes home ratings, market news and buying advice on its website.
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Home to be loved in Canterbury's Golden Mile

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There’s no guarantee we’ll see a lift in the housing market as we go into spring this year. On the supply side, there’s a build-up of long term unsold properties (stales) and a compounding shortage of exciting, well-priced new stock. On the demand side, buyers have had a particularly hard time of late – not so much in finding homes, but in finding homes of quality; however when those homes are found they sell well, proving there is a solid level of underlying demand.
Buyers do want to buy and they’ve been out there in good numbers most weekends. James Buyer Advocates’ demand indicator, Bidderman, has shown an average of two bidders an auction some weekends. But they have proven to be stubborn on homes that are not market priced. James specialises in the $1 million-plus Melbourne market.
There are actually two spring markets: early spring (September and October) and late spring (November). They’re intimately connected. According to Sam Gamon of Chisholm and Gamon, what happens in late spring is always greatly influenced by the early spring results. It’s all about confidence says his Elwood auction partner, Torsten Kasper. “A few weeks of good results in early spring may lay the platform for an increased level of homes for mid to late spring.”
On the other hand, David Hart of Buxton Brighton says there’s a strong pattern favouring a late spring recovery – at least in bayside. “Human nature being what it is, many people wait until they are almost out of time to put their property on the market. And there are those who purchase October onwards, who need to sell their own property prior to Christmas. I expect this year will be no different.”
So what about price?
Despite the continued negativity from overseas, Buxton’s Mark Earle can’t envisage any significant changes in housing prices. “Fundamentally there is a shortage of houses in Melbourne with population growth. And Melbourne has been widely recognised as the best performing city in the country in terms of stability over recent years.” Cycles seem to be getting shorter, he points out – “take the 2008 financial crisis and the subsequent boom market of 2009” – and things can change quickly.
According to Benmac’s Iain Carmichael, given the low stock levels, prices are likely to hold. “Agents will have far less trouble achieving full results for good family homes in the $2 million to $3 million range. Vendors at the very top end have a tendency to feel that their property is somehow guaranteed to appreciate in the face of a steadying market. Curious, really!”
Kay and Burton director Ross Savas also believes that prices will be steady. “The fundamentals of our economy are still very good and we have amazing employment levels in our country. So as long as nothing occurs out of left field, I believe prices will hold in Victoria.”
So when do you buy and sell?
Peter Kennett of Hocking Stuart says his advice to sellers is to get in early rather than late. “Late spring is when supply usually increases with more motivated sellers as they have most likely bought.”
As for buyers, David Hart, of Buxton Brighton, believes that the later in the year before Christmas, the more motivated sellers are to lock in a result. “Although you should never pass up the opportunity to purchase the right property on the assumption that if you wait, you might get an early Christmas present!”
With the mix of school holidays, horse racing weekends and the shift in the Grand Final from the last week in September to the first week in October, there are effectively only 16 Saturdays that will give a vendor the traditional four Saturday auction program,  points out Richard Winneke of Jellis Craig. “And of these no doubt some will be more popular than others – creating super Saturdays on dates like 27th August, 24th September and 3rd December.”
For bargain hunters, late spring may be a better market than early due to vendors having to sell and time running out. However you do take the risk that what you may not be there by late spring.
This is where patience presents a conundrum for buyers: if many of us pass on buying in early spring then the late spring surge may not happen at all. And come Christmas time we will still be in a buyers’ market but we won’t have bought. The question is then: how long are you prepared to wait?
 
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“Love is in the air and there is no home more beautiful than one being auctioned on the perfect sun-drenched spring day with the fence painted, the light streaming in and the garden looking stunning,” says Marshall White’s Justin Long – with some poetry and just a little bias.
Historically though, over the last decades Melbourne buyers and sellers have agreed with this statement.  John Clarkson of Hocking Stuart says the market swells by as much as 200% even 300% in terms of activity in spring months when compared with the winter ones.
However, while every agent assumes the supply of stock is sure to increase on what we have now, there is also a thinking that this increase will be less this year than what we’ve seen on average over the past 10 years. There is universal agreement at the moment that we will not see stock levels approaching what we saw last year. Last year was a big year at the beginning, in the middle and at the end in terms of activity. So far 2011 has not been – and it will not be.
Why is spring looking to have new stock shortages? According to Kay and Burton director Ross Savas, it’s because vendors are perceiving that the market is under pressure, so they are holding off placing their homes on the market till conditions improve.
Benmac’s Iain Carmichael agrees: “Unlike last year there are few opportunistic sellers thinking, ‘Wow, our home is now worth a mint – let’s go!’. So the only driving forces are the traditional sellers such as upscalers, downsizers, and job relocators.”
Is this just false spin to get sellers to act? We don’t think so. Richard Winneke of Jellis Craig for instance reports that most agents are admitting to a 25% volume reduction of high end stock being transacted between this year and last. Balwyn and Kew are down around 20% in overall transactions (not just the high end).
In Bayside Jason Gill paints a similar picture of diminishing turnover but uses a different measurement: “In Brighton in July 2009, 2010 and 2011 we have seen stock on the market go from to 92 to 125 to 150 meaning older overpriced stock is simply not selling.”  What this means, he adds, “is that the stock that comes on in spring will need to be of good quality and be priced correctly, rather than more of the same, if it is to excite the market.”
In our opinion, with the type of market contraction (turnover more so than price) we have had in 2011 we are going to need some excitement to kick start the market in the way that it took the Chinese community in 2009 to lead us from the GFC.
Sellers want prices and while buyers do as well, they also want good quality at the upper end levels. More of the same will only compound the problems of this market for both buyers and sellers.
For vendors who are prepared to swim against the tide, there could be rewards, says Steve Burke of Jellis Craig says, and sure we know he’s biased but he’s right on this occasion. “Forget about when the roses bloom in the garden, it is all about the demand and supply equation. As we are currently in a market place of perceived negative conditions I believe that there will be a real shortage of stock at the start of spring. This will definitely favour the brave vendors who will be able to capture a marketplace where there is little competition.”
Mal James is principal of<a target="_blank" title="James Buyer Advocates" href="https://www.jamesbuyeradvocates.com.au/"> James Buyer Advocates</a>, which advocates on behalf of buyers of property over $1 million. Mal writes weekly auction reports, advice and in-depth market analysis on James' website.</body></html>

Few listings until late spring rush: The property crystal ball

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So is it OK to buy now? Is this a window of opportunity or the start of the slippery slope?
It’s human nature as buyers to want to get a great deal at any time. We as buyers want to make the best decisions on our needs and maximise our individual long-term emotional and financial outcomes for our family – just as sellers do. But there is wanting and there is making it happen.
Going forward, what will happen is that:
Some buyers will panic.
We are all a bit circumspect and nervous, but if we become panicked we become a danger to our families.
The best way to avoid panic is to be clear on what it is that you, as the breadwinner or decision maker, are trying to achieve.
What do you want for your family?
A home with four bedrooms, a good backyard near schools and with a good floorplan in Boroondara or Bayside? Good – well stick to it.
The condition of the Greek economy shouldn’t make you now think you want a two-bedroom home in Epping with no backyard because that is somehow less risky than Hampton or Glen Iris.
Some buyers will not learn from history.
Think what happened during and post the GFC, during the ‘90s drop, and during the ‘70s – if you are as old as I am.
If you understand what is happening now you may be able to take advantage of it – even in little ways. It all adds up.
Some buyers will act.
You can only take advantage of an opportunity if you act.
Those who appear to be the wisest of men who pass on everything in life are not that.
You can’t look after your family on inaction. Your spouse can’t sleep in your concern and your kids can’t play in your risk-avoidance strategies.
Good things to think about when you realise you still need to do something:
Take your time, as most sensible buyers have this year. If you see something you like, look at its characteristics: are they what you want and are they any good? If not, move on – prices seem unlikely to be going north in a hurry.
Elevate your risk taking in negotiations and go harder on price. Especially if it’s been passed in for longer than a few days. Providing you don’t have to have it at any cost, push a little harder. It’s not immoral to try for a good deal.
Aim higher – especially if you are above $2 million. If you can stomach a bit more debt, then now may be the perfect time to look for something a bit better than what you could have afforded last year.
Marry a doctor or someone with equally good cash flow, because over the next few months some bargains may appear and cash-flow kings will be able to take advantage of the debt bunnies.
We admit we have a complete bias towards property, so maybe our thoughts are not quite balanced. But maybe that’s why we feel some comfort right now. If the kitchen in stocks is a bit too hot maybe nervous investors could come over and try the relatively stable inner-Melbourne housing market. Sure, it’s a bit rough around the edges, but it is solid inside.
The rest of this year is an opportunity for us all – and for some that opportunity will be a time for action, for others a time for reflection and for a few a time for panic.
Mal James is principal of<a href="https://www.jamesbuyeradvocates.com.au/" title="James Buyer Advocates" target="_blank"> James Buyer Advocates</a>, which advocates on behalf of buyers of property over $1 million. Mal writes weekly auction reports, advice and in-depth market analysis on James' website.</body></html>

Don't panic, Europe's economy shouldn't affect your Melbourne property investment

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The big talk on the property market is auction clearance rates: the fact they are well below last year (true) and that they are perhaps even lower than what agents are claiming (maybe).
Last year auction clearance rates across Melbourne were regularly in the 70s, percentage-wise. This year they are in the 50s, so it is fair to conclude that this year fewer buyers and sellers agree on price and therefore the market is regarded as weaker than 2010.
But while some journalists and publications argue that the ‘true’ clearance rate may in fact be lower because agents do not report every unsold auction, some agents argue that the emphasis on a Melbourne-wide clearance rate is also misleading.
Jack Bongiorno from Marshall White, for instance, says that while papers such as The Age are reporting clearance rates in the 50s, his company has seen clearance rates in the 70s throughout May and June. Andrew James of Hocking Stuart Armadale agrees, saying his office has also seen clearance rates in the 70s all year.
So The Age is saying one thing and agents another. Well, there’s nothing new there.
So who is right and who is wrong – and does it really matter?
Well, they are both right. And as for whether it really matters, the answer is yes – and no. Is that a splinter I can feel in my bottom from sitting on the fence? Well no, in fact this goes to the crux of what clearance rates can and cannot tell buyers.
According to Andrew McCann of BenMac, clearance rates are measured across a broad number of suburbs, price bands and demographics. “The reality is,” he says, “that some parts of the market will always perform better than others so it is not unrealistic to think that while some areas are soft, others are strong. A good case in point is that our firm sold 11 from 12 auctions last weekend, while the market returned 56%.”
Scott Patterson of Kay and Burton supports this: “The clearance rate in The Age of 59% is a general rate for the whole of Melbourne and does not reflect what is going on in certain areas. Hawthorn, for instance, has had a clearance rate of 80% for the year so far, which seems a different picture from the outskirts of Melbourne.”
This makes it important for buyers to take Melbourne-wide clearance rates with a grain of salt.
Brad Pearce of Miles in Ivanhoe says buyers need to be area-specific on clearance rates to ensure they are in line with their market. “Buyers can become too confident with the lower Melbourne-wide clearance rates and miss opportunities to buy in their area, where in fact properties are still selling well.”
Hawthorn and Kew, for instance, are currently shining with clearance rates in the 70s and 80s, according to Richard Winneke of Jellis Craig. But next door, Camberwell, Canterbury and Balwyn North have had clearance rates in the 50s this year, he points out.
Clearance rates are wonderful things for analysts and journalists, says Steve Abbott of Jellis Craig, “but they are only part of the story for buyers and sellers”. Kay &amp; Burton’s Michael Gibson reminds us too that clearance rates only represent a few hours within the selling week.
And according to BenMac’s Iain Carmichael: “Some weeks we have shockers and the next it’s a dream, so clearance rates are area-specific, very cyclical and not always predictable.”
As a buyer, you also need to look at stats on areas, on specific agencies, on different types of homes, price ranges, stock level indicators, Bidderman (number of bidders per auction) and a variety of other measures.
Indeed, while $1m+ Melbourne may be down on turnover this year, of the last 10 homes we as buyer agents went after in the last two weeks of May, all were sold quickly (and not all to us). So to our mind, the late May 2011 “good home” index (describing the kinds of home we go after) had a clearance rate of 100%.
The buyer message in terms of Melbourne-wide clearance rates is to understand what they represent and to not limit your research to the changing weekly auction headline number when determining your individual buying strategy.
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Don't take clearance rates at face value

A landmark former orphanage site in Surrey Hills could be transformed into a new residential community under plans lodged by <a href="https://www.apartments.com.au/developers/antipodean-land-developments">Antipodean Land Developments</a> that would deliver 76 apartments and townhouses while restoring some of the suburb's most significant heritage buildings.

The burgeoninng Melbourne-based developer has submitted plans for the 9,158 sqm site at 1 Kent Road and 24 Durham Road, home to the former St Joseph's Home for Destitute Children, a historic institutional complex dating back to the late 19th century. The proposal seeks to adaptively reuse several heritage buildings while introducing two new four-storey residential buildings set within extensive landscaped grounds.

Designed by <a href="https://www.apartments.com.au/architects/woods-bagot">Woods Bagot</a> and Kerstin Thompson Architects, the project has been conceived as a contemporary residential village embedded within a restored heritage precinct. The development team describes the design approach as "The Village in the Garden," with new buildings positioned among mature landscaping by OCULUS and significant heritage structures.

<img alt="First look: Antipodean Land Developments plans heritage-led apartment community in Surrey Hills" data-entity-type="file" data-entity-uuid="44ec8c1b-c0b6-44ae-859e-5811b3e6a023" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Untitled%20design%20%281%29.png?VersionId=p.p1_KFh4iQoV4nisdnPfQBAsWNi7m79" />

The proposal would deliver 76 dwellings comprising a mix of apartments and duplex-style residences, significantly increasing housing supply on one of the largest privately held residential landholdings in Surrey Hills. The development includes 127 car spaces, 24 bicycle spaces and more than 1,000 sqm of communal amenity, with the existing chapel building earmarked for conversion into resident facilities.

According to the planning submission, the project centres on the restoration and adaptive reuse of the site's most significant heritage assets, including the original c.1889 St Joseph's building, the chapel designed by architect Augustus Andrew Fritsch, and the historic brick perimeter walls and entry gates. The proposal also incorporates the retention of other contributory buildings including the former infirmary and school building.

Tract Consultants, in the planning report accompanying the application, said the scheme had been shaped through extensive heritage analysis and design development.

"The shared vision for the Site by the project team has culminated in a scheme which successfully breathes life back into a historic site while delivering upon the objectives of Victoria's Housing Statement in a carefully curated and contextually responsive manner."

<img alt="First look: Antipodean Land Developments plans heritage-led apartment community in Surrey Hills" data-entity-type="file" data-entity-uuid="7263b7d8-95ea-400f-9531-6ca7d22c3c33" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Untitled%20design%20%282%29.png?VersionId=4cR1tiWOsDpgxEOwZi5vVFcyvvOsYkIE" />

The proposal is being assessed under Victoria's Significant Residential Development with Affordable Housing pathway. As part of the application, three per cent of the project's residential development cost would be contributed to the Social Housing Growth Fund. The development would also provide a diverse mix of one, two and three-bedroom residences targeting a broader range of buyers than typically found in Surrey Hills' detached housing market.

Sustainability initiatives include an anticipated 66 per cent BESS score, natural cross-ventilation to 80 per cent of apartments, 28 per cent deep soil landscaping and a canopy cover outcome exceeding local planning requirements. The proposal also sets aside more than 1,083 sqm for communal indoor and outdoor resident amenity spaces.

<img alt="First look: Antipodean Land Developments plans heritage-led apartment community in Surrey Hills" data-entity-type="file" data-entity-uuid="33fad46f-fe26-4d0a-acfd-6b776e1c6a3d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Untitled%20design.png?VersionId=D9F6WVSyYCtGvSUmith35LRp6R7PQkw_" />

Planning documents describe the property as one of the largest underutilised residential sites in Surrey Hills, arguing it presents a rare opportunity to introduce "missing middle" housing in an established inner-eastern suburb while preserving and revitalising a significant heritage precinct.

Antipodean Land Developments has built a reputation for design-focused residential projects across Melbourne, particularly in the medium-density sector. Previous developments include Neighbourhood in Brunswick East, delivered with Breathe Architecture, and Balfe Park Lane, designed by Kerstin Thompson Architects.

They've been very active in site acquisition as they build out their future development pipeline. They recently launched Thornubury House, 45 apartments above a mix of commercial, retail, and food and beverage tenancies, and have plans for a boutique project in Fitzroy and another <a href="https://www.apartments.com.au/news/vic/antipodean-plan-apartments-for-deepdenes-missing-middle-on-whitehorse-road">"missing middle" project</a> on Deepdene's Whitehorse Road.

Joel Robinson

First look: Antipodean Land Developments plans heritage-led apartment community in Surrey Hills

Developer <a href="https://www.apartments.com.au/developers/auyin-property-development">Auyin</a> is the latest to turn to the Victorian Government's Development Facilitation Program in an effort to secure approval for its long-planned, mixed-use project in Elsternwick.

In 2018, Auyin lodged plans with Glen Eira City Council for a 14-storey building, however Council approved a reduced eight-storey scheme. A subsequent VCAT appeal in 2019 upheld the eight-storey height limit.

The project was later amended to nine storeys, but Auyin is now seeking to revive something closer to its original vision. The developer argues that the planning context has evolved significantly over the past decade, particularly within the Elsternwick Activity Centre, where higher-density development has increasingly been encouraged along Glen Huntly Road.

The proposal would transform the 1,239 sqm site at <a href="https://www.apartments.com.au/new-apartments/7-12-horne-street-elsternwick-vic-3185">7-15 Horne Street</a>, opposite Elsternwick Railway Station, into a 13-storey residential and retail development designed by CBG Architects, with 40 apartments

The site currently comprises three commercial properties.

<img alt="First look: 13-storey mixed-use tower planned for Elsternwick activity centre" data-entity-type="file" data-entity-uuid="5f465dd4-509b-4082-a669-0253b313914b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/elsternwick%20podium.png?VersionId=72frWi0SmQ5AVJ3ARRhX5ILUYObhTm7x" />

The proposed apartment mix comprises 25 two-bedroom and 15 three-bedroom residences above 200 sqm of retail space at ground level. Residents would have access to a 90 sqm wellness facility, a 351 sqm communal indoor and outdoor terrace on the third level, and extensive landscaped areas throughout the development. A publicly accessible 135 sqm plaza would be created on the north-east corner of the site, providing seating, landscaping, and a new gathering space adjoining Horne Street.

The design adopts a four-storey podium that references the finer-grain character of the surrounding streetscape, with the upper tower recessed behind generous setbacks on all boundaries.

<img alt="First look: 13-storey mixed-use tower planned for Elsternwick activity centre" data-entity-type="file" data-entity-uuid="e637e763-2abc-4c34-a0aa-5c7ad36fae18" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/elsternwick%20open.png?VersionId=J1AoOpZgTyaF.KeeFSX6lMjEScX8KKRi" />

A key element of the proposal is the reconfiguration and widening of the surrounding laneways. Vehicle access would be retained from Lois Lane, with upgraded pedestrian connections linking Ross Street and Horne Street. The development would provide 58 residential car spaces, two retail car spaces, and 52 bicycle spaces across two basement levels and ground-floor facilities.

Architecturally, the building draws inspiration from the established character of Elsternwick Village. The façade combines dark charcoal brickwork, textured concrete, bronze-toned metal detailing, and extensive planting integrated into podium and tower levels. The design also incorporates a chamfered corner treatment and publicly accessible plaza intended to strengthen pedestrian activity around the station precinct.

Elsternwick's last new development completion was&nbsp;EVA Elsternwick by Pitard late last year. <a href="https://www.apartments.com.au/developers/milieu-property">Milieu</a> is working away on its nature-led neighbourhood, <a href="https://www.apartments.com.au/new-apartments/elsternwick-gardens-by-milieu-8-gordon-street-elsternwick-vic-3185">Elsternwick Gardens</a>, on Gordon Street, with its first stage expected to complete next year.

First look: Auyin seeks mixed-use apartment project in growing Elsternwick Activity Centre

<a href="https://www.apartments.com.au/new-apartments/otium-parkdale-123-125-como-parade-east-parkdale-vic-3195">Otium Parkdale</a>, the 13-residence boutique development by&nbsp;<a href="https://www.apartments.com.au/developers/huxtable-property">Huxtable Property</a>, has entered its final stages of delivery, with completion expected within the coming month and more than half of the residences sold.

The Como Parade East project is nearing the finish line at a time when opportunities to purchase new apartments in <a href="https://www.apartments.com.au/developments/parkdale-vic-3195">Parkdale</a> remain exceptionally limited. Fewer than 10 per cent of dwellings in the bayside suburb are apartments, making developments like Otium a relatively rare addition to a market traditionally dominated by detached housing.

[smartcode_project:default project_id=134974 project_image_fid=5427]

The three-level development comprises 13 residences, including ten two-bedroom apartments and three larger three-bedroom homes, all positioned above a secure basement car park.

Designed by <a href="https://www.apartments.com.au/architects/almeida-architects">Almeida Architects</a> with a strong connection to its coastal surroundings, Otium combines red brick, exposed concrete and dark metal detailing with integrated landscaping and greenery. Expansive glazing, generous balconies and terraces have been incorporated throughout the design to maximise natural light and reinforce indoor-outdoor living.

Inside, the residences feature engineered European oak flooring, natural and reconstituted stone benchtops, Bosch kitchen appliances, ducted heating and cooling, lift access and secure entry systems. The larger three-bedroom residences on the upper level have been designed with house-like proportions, while the two-bedroom apartments prioritise functionality, flexibility and low-maintenance living.

[smartcode_project:default project_id=134974 project_image_fid=5421]

The project is now in its final stages, with <a href="https://www.apartments.com.au/builders/labco">Labco</a> completing the remaining landscaping and external finishing works following the completion of the residences' interiors.

Otium's location within the heart of Parkdale continues to underpin its appeal. Residents will be just steps from local cafés, restaurants, shops and the newly elevated Parkdale Station, while the beach is less than a kilometre away.

With the project tracking ahead of schedule, buyers can currently secure a residence with a five per cent deposit and benefit from settlement terms of up to eight months. The advanced stage of construction also provides buyers with the opportunity to walk through the near-complete residences and experience the quality and finishes firsthand ahead of completion.

[smartcode_project_cta:default project_id=134974]

Otium Parkdale enters final month before completion as rare apartment opportunity nears sellout

A new boutique apartment development is entering the market in <a href="https://www.apartments.com.au/developments/chermside-qld-4032">Chermside</a>, with Brisbane-based developer <a href="https://www.apartments.com.au/developers/ausdev">Ausdev</a> bringing 33 residences to a well-connected pocket of Brisbane's north.

<a href="https://www.apartments.com.au/new-apartments/parkdrive-apartments-chermside-25-sammells-drive-chermside-qld-4032">Parkdrive Apartments</a>, at 25 Sammells Drive, will comprise a mix of one- and two-bedroom residences positioned within walking distance of Westfield Chermside, The Prince Charles Hospital, and Bradbury Park.

Established in 1989, Ausdev has a long-standing presence across both development and construction, with Parkdrive Apartments representing its latest residential project in Brisbane's northern suburbs.

[smartcode_project:default project_id=152125 project_image_fid=363778]

The development has been designed around open-plan living and natural light, with residences featuring stone benchtops, timber cabinetry, BOSCH appliances, and private balconies that extend the living areas outdoors.

Kitchens are positioned as the centrepiece of the homes, incorporating natural material palettes and integrated appliances, while bathrooms have been designed with a focus on functionality and understated finishes.

Residents will have access to a communal barbecue and entertaining area on Level 3, providing shared outdoor space within the development. Secure parking and lift access are also incorporated into the building.

The project will deliver a limited collection of 33 apartments, with one-bedroom residences priced from $749,000.

[smartcode_project:default project_id=152125 project_image_fid=363782]

Beyond the building itself, the location places residents within easy reach of several of Chermside's key amenities. Bradbury Park is around 350 metres away, while Westfield Chermside is approximately 1.3 kilometres from the site. The Prince Charles Hospital is located within 750 metres, and the Chermside Bus Interchange is around 1.5 kilometres away, providing connections across Brisbane.

Parkdrive Apartments adds to the growing residential pipeline in Chermside, a suburb that continues to evolve as a major retail, healthcare, and transport hub for Brisbane's north.

[smartcode_project_cta:default project_id=152125]

Ausdev introduces boutique Parkdrive Apartments to Chermside's growing centre

<a href="https://www.apartments.com.au/developers/skymark-group">Skymark</a>'s boutique Cronulla development Solis has secured a 10-year Latent Defects Insurance policy through Resilience Insurance, providing buyers of the 16-residence building on Ewos Parade with structural and waterproofing protection that extends a decade beyond the building's completion.

Currently under construction and due for completion in late 2027, <a href="https://www.apartments.com.au/new-apartments/solis-cronulla-8-ewos-parade-cronulla-nsw-2230">Solis</a> is one of a small number of new developments in the Sutherland Shire to carry Resilience LDI coverage, a distinction that carries increasing weight as buyer confidence in the off-the-plan sector continues to be shaped by how developers stand behind their product.

Latent Defects Insurance, which entered the Australian market in 2022 when Resilience Insurance was approved to offer the cover, protects buyers against major structural or waterproofing defects for ten years post-completion. Unlike traditional statutory warranties, it operates as a first-resort policy, if a covered defect arises, the insurer responds directly, without the buyer needing to pursue the builder or developer through a lengthy claims process.

Resilience Insurance CEO Corey Nugent has noted that the product addresses something fundamental to the new apartment market.

"The overarching feedback from prospective buyers in the new development space is that they want more confidence and assurances around the quality of the build," Nugent says.

"Resilience Insurance Latent Defects Insurance not only gives them complete peace of mind for 10 years, but it shows the developer they are buying from is standing by their product."

[smartcode_project:default project_id=150499 project_image_fid=370898]

For Solis, the Resilience LDI policy adds a meaningful layer of accountability to an already considered project. The development comprises nine two-bedroom and seven three-bedroom residences, including one dual-level three-bedroom apartment, across a five-storey building on Ewos Parade, positioned between Shelly Beach and South Cronulla.

Garden apartments connect directly to private landscaped courtyards, while upper-level homes capture beach views to the east from level four and above.&nbsp;

All 16 residences include at least one balcony or courtyard, and select apartments on the upper floors feature bar areas and secondary flexible living spaces.

Hiba Sander, Managing Director of Skymark, says Solis offers a rare balance, nestled between the quiet beauty of secluded beaches and the lively charm of South Cronulla's esplanade.

"It's a place to choose your pace and live gracefully, seaside'," Sander says.

[smartcode_project:default project_id=150499 project_image_fid=370900]

The architecture, designed by <a href="https://www.apartments.com.au/architects/ida-design-group">IDA Design Group</a>'s Michael Trinh, draws from the natural erosion patterns of <a href="https://www.apartments.com.au/developments/cronulla-nsw-2230">Cronulla</a>'s sandstone headlands, translating the organic forms of the coastline into soft curves, pavilion-style massing, and a material palette chosen for longevity in a salt-tinged environment.&nbsp;

Textured natural stone, soft renders, and timber-look battens reference the tones of the surrounding cliffs, while the building has been oriented to maximise natural light and passive ventilation, with primary living spaces facing north and east to capture morning sun and sea breezes.

"At Solis, our aim was to create architecture that feels quietly confident, grounded in natural materials like stone and timber, and elevated by light and landscape," Trinh says.&nbsp;

"The buildings are designed to sit gently within their coastal surrounds, with expansive glazing and abundant greenery creating a seamless dialogue between inside and out."

[smartcode_project:default project_id=150499 project_image_fid=370897]

Interiors by <a href="https://www.apartments.com.au/architects/hot-black">Hot Black</a> carry the same material language through to every room. Kitchens feature integrated Gaggenau appliances, sculpted stone benchtops, and Lo &amp; Co joinery, while bathrooms feature natural stone, timber, and brushed metal finishes.&nbsp;

Hot Black Founder and Design Director Sophie Safrin describes the intent as one of considered restraint: "At Solis, every detail has been thoughtfully considered to create a timeless coastal retreat, calm, refined, and effortlessly liveable. From natural finishes to seamless indoor-outdoor flow, Solis offers a quiet elegance that's deeply connected to its surroundings.

The landscape, designed by Julian Brady of <a href="https://www.apartments.com.au/landscape-architect/sitedesignstudios">Site Design Studios</a>, treats green space as an integral part of the resident experience rather than an afterthought.&nbsp;

"Gentle curves and layered native plantings mirror the ebb and flow of the ocean," Julian Brady says, "creating a serene connection between architecture and place."&nbsp;

Coco Republic has provided bespoke furniture packages tailored to the project's coastal palette.

[smartcode_project:default project_id=150499 project_image_fid=370899]

Skymark has an established track record in the Sutherland Shire, with a portfolio spanning Cronulla, Woolooware and Burraneer that includes Isla, Sylva, Bask, Shells, Sula and Mist. Securing LDI on Solis reflects a broader shift in how the developer is positioning its buildings to buyers, at a time when Resilience Insurance expects the policy to become mandatory in New South Wales by 2028.

Sales at Solis are launching soon through Ray White Projects, with an official event scheduled for 11 June. Enquire for more information.

[smartcode_project_cta:default project_id=150499]

Mal James

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