- Posted By Prince Lakshman
Is the property market in Melbourne becoming buyer-friendly?
A lot of Melbourne property markets have gone ripe for the picking as they have slipped over the past year.
Most real estate experts concur now could be the best time to buy into the Melbourne market since it exploded back in 2012 as conditions continue to cool.
Smart buyers are now eyeing suburbs like St Kilda, Caulfield, Abbotsford, Oakleigh East and Maribyrnong for houses, and Essendon North, Blackburn and Maidstone for units.
Although the said suburbs had taken annual median price hits– most notably St Kilda– they are expected to recover.
According to Geoff White, CoreLogic Victoria director, the data on median price offers a good measurement for househounters who shouldn’t back out into buying properties from declining suburbs.
“While the market could fluctuate going forward, it’s not going to dramatically fall away. Buyers are recognising now’s their chance to get in,” Mr White said.
Based from CoreLogic’s data, greater Melbourne home values have tumbled by 3.5 per cent since the market come to a head in November and are 1.7 per cent lower than a year ago.
Director Frank Valentic of Advantage Property Consulting said the city had experienced “a bullish run from September 2012”, during which some suburbs rose “way too much”.
However, he added that in some areas, people are paying 10 per cent less than a year ago.
Most suburbs that offer “bang for buck” were in the middle and outer rings with large land sizes, and had future growth prospects, according to Mr Valentic.
National Property Buyers director Antony Bucello agreed Blackburn, Maidstone and West Footscray offered good unit buying opportunities, along with Sandringham, down 14.4 per cent, and Elsternwick, 9.6 per cent.
“Over the long term, there will almost always be demand for properties (with) good access to public transport, shops, schools, parks, medical facilities and freeways,” Mr Bucello said.
According to Mr Bucello, Melbourne was stacked with “excellent opportunities” as the market experienced its biggest correction since 2011.
SUBURBS OFFERING THE BEST BUYING IN YEARS
St Kilda: median price down 29.9% annually to $922,000 (from 58 sales)
St Kilda East: down 12.9% to $1.305m (124 sales)
Windsor: down 8.1% to $1.36m (63 sales)
Caulfield: down 7.6% to $1, 727,500 (32 sales)
St Andrews Beach: down 6.9% to $773,000 (21 sales)
Abbotsford: down 5.8% to $1.224m (60 sales)
Mont Albert North: down 4.1% to $1,500,500 (63 sales)
Oakleigh East: down 3.2% to $1.079m (22 sales)
Clifton Hill: down 2.9% to $1,359,500 (70 sales)
Maribyrnong: down 2.4% to $965,000 (116 sales)
Essendon North: median price down 16.8% annually to $382,500 (40 sales)
Blackburn: down 15.4% to $539,725 (108 sales)
Sandringham: down 14.4% to $640,000 (103 sales)
Maidstone: down 13.5% to $437,000 (83 sales)
Elsternwick: down 9.6% to $633,000 (119 sales)
West Footscray: down 7.7% to $387,500 (83 sales)
Newport: down 7.5% to $643,000 (74 sales)