Price estimates given before auction by Sydney estate agents are coming under increased pressure as stock levels accumulate in spring. But in Melbourne the price guides appear overly cautious, with sales typically exceeding the estimates.
Despite the healthier price guidance Melbourne’s clearance rate eased to 53% from 55% on the previous weekend. Sydney’s weekend clearance rate stood at 58% on the preliminary results, up from 54% the weekend before last. It was 57% on initial reports, so expect the a fall once unreported non-sales come in.
In Sydney’s lower north shore at Neutral Bay, a 1930s Thrupp Street unit listed with $790,000 plus hopes sold on the weekend for $780,000. Not a major gap, but an increasingly regular occurrence.
There was a $2.75 million vendor on an unsold Manly duplex listing. The 2003 North Steyne had been listed with $3 million hopes.
The top bid on an unsold Birchgrove weekend auction listing was $1.7 million. The Grove Street listing had $1.8 million plus hopes, given it made the most of its 150-square-metre block. The Victorian terrace spans four levels and has four bedrooms and two bathrooms.
Even the first-home price bracket appears without momentum on occasions. A two-bedroom Marrickville unit listed with $500,000-plus hopes was passed in at $501,000 through Callagher Estate Agents. It had last traded for $385,000 in 2004.
Ashfield achieved a better result, with a 113-square-metre Liverpool Road listing fetching $490,000 pre-auction having been listed with $400,000-plus hopes through Raine & Horne Ashfield.
A Queens Park semi sold for $2.13 million having been listed with $1.9 million-plus hopes through GoodyerDonnelley.
And there was a pre-auction sale at Bondi Beach when $750,000 was paid for an Edward Street flat listed with $700,000 plus hopes by GoodyerDonnelley.
Some agents have adopted extremely cautious estimates including a Surry Hills terrace that came with a $675,000-plus forecast. The Commonwealth Street terrace, listed through BresicWhitney, had previously sold at $660,000 in 2007. It sold before auction at $780,000.
A similar study of published pre-auction estimates of Melbourne listings suggested a greater success rate, although a $270,000 vendor bid was placed at an auction of a Commercial Road, Footscray offering that had been listed with a $280,000 to $300,000 estimate.
And a three-bedroom, renovated Federation property in Fairfield sold at $940,000 – midrange of its $900,000 to $990,000 estimate through Nelson Alexander.
About $1.6 million had been tipped for renovated 1930s Nungerner Street Balwyn offering that passed in on a $1.45 million vendor bid. It had a $1.54 million reserve through Jellis Craig.
But most of the other surveyed listings went past the upper end of the price ranges.
A $410,000 to $450,000 estimate was given on a Royal Parade, Parkville apartment that fetched $481,000 through Nelson Alexander.
There was a $520,000 to $570,000 estimate on a Prahran flat in Red Tulip factory conversion that fetched $615,000 through Biggin & Scott.
A Collingwood warehouse conversion listed with $775,000 to $825,000 hopes fetched $860,000 through Jellis Craig.
A five-bedroom weatherboard Sandringham offering with $1.65 million-plus hopes fetched $1.75 million.
An Edwardian house on Dover Street Flemington listed with $580,000 to $630,000 hopes sold through the Thomson agency at $646,500.
A $540,000 to $580,000 estimate had been given on an Esdale Street Nunawading offering that sold at $620,000 through Noel Jones.
A $476,000 sale in Yarraville through Hocking Stuart had been estimated to sell at between $400,000 and $440,000. It’s an apartment in the former 1981 St Georges theatre building, which was converted about seven years ago.
Several fell short of pre-marketing hopes. There were $1.6-million-plus hopes for a Caulfield North listing through Jellis Craig. The Alma Road offering with a McSteen Tan architects design was passed in, with bidding falling short of its $1.6 million reserve.
There was a $1.6 million vendor bid when a Ferrars Place, South Melbourne listing went to auction, having been marketed by Kay & Burton with $1.55 million to $1.7 million hopes.
There was a $5 million vendor bid on a Beaconsfield Parade, St Kilda offering that had been listed with a $5 million to $5.5 million expectation.