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Distressed Property of the Week

203/12 Cunningham Street, Newstead QLD 4006

The vendor is accepting offers from $620,000 as of 23 July on this 2-bedroom apartment, located in Newstead. The property last sold in November 2017 for $644,000 and the vendor is hoping the reduced price will attract either an owner-occupier or landlord for a quick sale. This apartment is currently tenanted out until October 2021

According to Charlene Herrmann and Rick Wang from The Aurora Newstead Team, the luxury 2-bedroom, 2-bathroom apartment is located on the 26th floor and is located in the Gasworks precinct. The apartment includes a secure basement carpark and a lobby including concierge services. The residence features views of the river and parkland while allowing for easy access to public transport, supermarkets, cafes and restaurants.

If you think it is a good deal, make sure you crunch the numbers first. In postcode 4006, the vacancy rate has decreased over the last 12 months to 3% in July 2021 from 7.9% in August 2020. Asking rents have gained 4.8% over the last 12 months to 3 August. The gross rental yield on units currently sits at 5.1%.

However, asking sales prices for 2-bedroom units have been flat over the year and over three years have fallen by 1.9%. You can view recent sales in 4006 here. Given these figures, it would pay to do more research, as you could possibly drive a harder bargain with the seller given the fall units prices.

You can monitor this market and others with SQM Research’s free property data. Also consider the SQM Property Explorer product for more in-depth data and property price estimator.

Listings Mixed Over July

Sydney New Listings Dive on Lockdown by Lockdown 

Figures released today by SQM Research reveal national residential property listings rose in July 2021 by 1.1% to 238,834 from 236,218 in June 2021,

The largest monthly falls in property listings in July were in Sydney and Adelaide, as the latest lockdowns in these cities disrupted the market. Melbourne has recorded a rise in listings of 3.9% over the month, as a result of a late surge in new listings. Over the year, property listings are trending downwards nationwide, which is putting upward pressure on property prices as demand outstrips supply. Compared to 12 months ago, national listings fell 23.6%, with the biggest falls in Hobart, Adelaide, Canberra and Brisbane.

Nationally, new listings (Less than 30 days) fell 1.2% over July 2021 to 71,518 properties on the market, though they rose 5.4% over the year. New listings dropped the most in Darwin followed by Sydney, down by 41.4% and 19.7%, respectively. Over the year, new listings rose the most in Darwin, by 39.2% as vendors seek to take advantage of strong market conditions.

In a sign that older stock is clearing, property listings over 180 days dropped by 6.2% in July 2021 and they are down 49.8% over the year, with falls posted recorded in all capital cities, led by Canberra.

Louis Christopher, Managing Director of SQM Research said: “Total listings over July were predominantly impacted by lockdowns, particularly for Sydney whereby there was a 19.7% decline in new listings. Older listings also had another monthly fall, indicating strong absorption rates across the country. Melbourne’s market appears to be more active than this time last year, despite the most recent lockdown and mixed auction clearance rates. Going forward we are cautious for the market given the likely economic damage as a results of these latest lockdowns. That said, recently announced Government support packages will likely assist the housing market into the spring of 2021.”

Asking Prices
Over the past 30 days to 3 August 2021, Sydney asking prices fell by 0.7% for houses and 0.2% for units. Asking prices for houses in Melbourne, Brisbane and Perth rose by 1.1%, 1.6% and 0.6%, though there were no changes in unit asking prices. Adelaide asking prices for houses fell by 0.3%, while units rose by 1.6%. Canberra, Darwin and Hobart asking prices for houses rose by 1.2%, 0.9% and 0.6%, respectively, while asking prices for units rose by 0.9%, 0.7% and 3.2%.

Auction Results

for week ending 1 August 2021

Full individual auction results can be found on our website:

Auction Listings*

for week ending 8 August 2021

CITY Saturday   Rest of Week STATE Saturday   Rest of Week   Link
Sydney 548   94 All NSW 654   193   Auctions in NSW
Melbourne 1409   113 All VIC 1541   130   Auctions in VIC
Brisbane 134   55 All QLD 224   118   Auctions in QLD
Perth 10   9 All WA 11   13   Auctions in WA
Adelaide 83   39 All SA 83   41   Auctions in SA
Canberra 77   34 All ACT 77   34   Auctions in ACT
Darwin 4   0 All NT 4   0   Auctions in NT
Hobart 0   0 All TAS 0   0   Auctions in TAS

* The above counts of auctions represent most recent known auction dates for the coming week.

Real Estate Realities

Oprah Winfrey Sells Her 43-Acre Waterfront Estate 

Oprah Winfrey has decided to reduce her real estate portfolio and recently sold her 43-acre waterfront estate of Orcas Island, Washington, for US$14 million. In 2018, Winfrey purchased the secluded estate for US$8 million, without ever visiting the property. Oprah's broker told the Business Journal that she decided to sell the estate because “she’s too busy and never going to really use it"

Located just off the coast of Seattle, the estate features 3,000 feet of west-facing shoreline providing the owner with sunset views. Built in 2007, the three-story property features a copper and slate roof exterior and features a rustic, cabin-like interior. The 7,303 square foot home boasts four bedrooms. The dining room, kitchen and living area provide a great entertaining space for guests. The luxurious space comes complete with tasting room, game room, wine cellar, home office and floor-to ceiling bookshelves in the library.

According to the original listing, "the grounds also include a garden, hiking trails, a sauna, a pond, a stream, and more." On the top of the high cliff, the residency also features a 2,948 square foot guesthouse, including four bedrooms and three bathrooms. This second house overlooks the shoreline's private beach. Oprah Winfrey currently resides in the celebrity community of Montecito, California on her 70-acre ranch. In addition to this residence, the media mogul owns various estates in Telluride, Colorado and in Maui, an island of Hawaii.

More ...

Black Dragon's Words for the Week

"Light tomorrow with today"

~ Elizabeth Barrett Browning 

SQM Research Housing Indexes

SQM Research Weekly Asking Prices Index

 
Week ending
3 Aug 2021
Asking Price  Chg on
prev wk
Rolling month
% chg
12 mth
% chg
Sydney All Houses 1,584.3 -20.9  -0.7%  15.5% 
All Units 685.6 1.4  -0.2%  0.3% 
Melbourne All Houses 1,085.2 1.8  1.1%  6.1% 
All Units 563.9 0.1  0.0%  -0.5% 
Brisbane All Houses 705.0 7.1  1.6%  9.1% 
All Units 394.7 0.4  0.0%  4.8% 
Perth All Houses 699.2 -1.3  0.6%  4.1% 
All Units 389.4 -0.2  0.0%  2.4% 
Adelaide All Houses 572.1 -1.2  -0.3%  8.9% 
All Units 330.1 1.6  1.6%  7.4% 
Canberra All Houses 826.3 1.2  1.2%  1.7% 
All Units 477.8 -0.6  0.9%  7.4% 
Darwin All Houses 603.8 -1.0  0.9%  5.2% 
All Units 376.9 1.6  0.7%  8.6% 
Hobart All Houses 654.0 4.1  0.6%  14.0% 
All Units 434.3 0.9  3.2%  16.6% 
National All Houses 685.6 1.8  -0.9%  13.5% 
All Units 425.5 0.4  0.5%  7.9% 
Cap City Average All Houses 1,083.2 -7.4  -1.6%  10.1% 
All Units 572.7 2.0  0.1%  1.2% 

Next update: 10 Aug 2021

SQM Research Weekly Rents Index

Week ending
28 Jul 2021                                   
 Rent     Chg on
prev wk
  Rolling month
% chg
     12 mth
% chg
Sydney All Houses 700.0 1.0  2.5%  9.7% 
All Units 467.4 1.6  1.7%  -0.1% 
Melbourne All Houses 518.4 1.6  0.3%  -1.0% 
All Units 368.1 0.9  1.6%  -7.7% 
Brisbane All Houses 515.4 -1.4  0.9%  10.2% 
All Units 393.1 1.9  1.3%  3.5% 
Perth All Houses 528.0 3.0  1.1%  12.6% 
All Units 408.4 2.6  2.2%  16.2% 
Adelaide All Houses 448.1 -1.1  0.2%  8.7% 
All Units 336.2 -0.2  2.5%  5.8% 
Canberra All Houses 730.2 1.8  2.7%  17.9% 
All Units 507.6 5.4  1.4%  7.3% 
Darwin All Houses 621.0 -4.0  1.7%  28.0% 
All Units 462.6 0.4  3.4%  27.3% 
Hobart All Houses 478.2 -4.2  3.5%  9.2% 
All Units 405.6 -1.6  -3.1%  6.2% 
National All Houses 525.0 1.0  2.7%  15.4% 
All Units 399.0 1.0  0.0% 8.7% 
Cap City Average All Houses 578.0 -2.0  1.2%  7.4% 
All Units 423.0 1.0  1.7%  0.7% 

Next update: 4 Aug 2021

SQM Ratings Newsletter ☆☆☆☆☆


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