Nelson Alexander Update 2015

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NELSON UPDATE YARRA UPDATE Banyule Banyule

Boroondara Boroondara

Darebin Darebin

Melbourne Melbourne

Moreland Moreland

Moonee Moonee Valley Valley

Yarra Yarra

Winter Winter2015 2015nelsonalexander.com.au nelsonalexander.com.au

E A G LI A AR RA EI L T R ST US E A B IN 15 Y 20 NC E G A


HOW DO YOU STACK UP? PROPORTION OF PROPERTIES SOLD: APARTMENTS/UNITS AND HOUSES Apartments/Units Houses 30%

70%

Median sale prices are very useful in comparing suburbs, and in understanding historic changes. But, median price is just one metric – to truly appreciate individual suburbs, and how they relate to their surrounding area, it’s best to delve a bit deeper… Across Melbourne’s Inner North (about 50 suburbs), between April 2014 - March 2015, one quarter of properties sold for under $460,000; one quarter sold for $460,000 to $630,000;

All Inner North Area

one quarter sold for $630,000 to $840,000; and, the remaining 57%

43%

Melbourne Area

25%

one quarter of properties sold for over $840,000.

PROPORTION OF PROPERTIES SOLD IN DIF 75%

Moreland Area

Under $460,000

$460,000 to $630,000 15%

29%

71%

25%

31%

Darebin Area

39%

28% 61%

25%

$630,000 to $

21%

23%

19%

Yarra Area 25% 25%

29%

26%

30%

28%

30%

Melbourne Area

Moreland Area

Darebin Area

20%

75%

Banyule Area 25% 29%

71%

Moonee Valley Area

All Inner North


With this in mind, we’ve looked at the sales profile of the areas we operate in to better appreciate the differences between them, and how the area compares to the wider Inner North. The price range mix in the Darebin and Moonee Valley areas are broadly comparable to that seen across Melbourne’s Inner North. Much of this can be explained by the property mix seen in these areas – roughly 3 in 10 properties sold are Apartments / Units. In an area like Banyule, we see that nearly 3 in 4 properties sell for over $630,000 (compared to 2 in 4 across Melbourne’s Inner North). Banyule is a beautiful region, but much of this skew has to do with the higher proportion of Houses found in this area.

FFERENT $ PRICE RANGES

$840,000

Common sense tells us that Houses tend to

Over $840,000

sell for more than Apartments / Units.

31% 49%

44%

So median prices are useful, but other metrics provide a deeper understanding of what makes each suburb unique. In future editions, we look forward to sharing analyses around demographics, infrastructure, schools, etc.

26%

26%

27% 22%

12%

21%

13%

9%

Yarra Area

Banyule Area

21% Moonee Valley Area

Property Analytics provides independent statistical information to real estate professionals throughout VIC and NSW, and acts as a Licensed Buyer’s Advocate for property investors and developers who seek above-market capital growth (www.propertyanalytics.com.au). Analysis is based on data from RP Data / Core Logic, Australian Property Monitors, Real Estate Institute, Valuer General, and Australian Bureau of Statistics April 2014 - March 2015


School Access: An important driver of capital growth.

STUDYING SUBURBS SCHOOL ZONING IMPACT Homebuyers and investors are

it’s best to contact schools directly.

increasingly willing to pay a premium for Melbourne properties

Some leading government secondary

that provide access to leading

schools in Melbourne’s north include:

government secondary schools.

University High School, Viewbank College, Northcote High School,

Independent analysis by Property

Buckley Park College, Kew High

Analytics shows that median house

School, Strathmore Secondary

prices have increased significantly in

College, and Fitzroy High School.

suburbs where leading government high schools are located. Prices in

Access to schools is an increasingly

these ‘Top School Suburbs’ have

important driver of capital growth,

increased 50% more over the last two

but schools form one part of the

years than other Melbourne suburbs.

larger property price puzzle - the strategic importance of demographics,

A great online source for school

infrastructure, amenities, gentrification,

comparison information is

council policies, zoning, and proximity

bettereducation.com.au, but for

to commercial precincts remain

individual school admission policies,

important factors.


RECENT SALES HIGHLIGHTS SALES HIGHLIGHTS IN YARRA SOLD $1,055,000

CLIFTON HILL Dally Ramsden Street Street SOLD $1,630,000 $700,000

CLIFTON HILL David Dally Street KEILOR EAST Avenue SOLD $1,356,000 $904,000

FITZROY NORTH Scotchmer HEIDELBERG Almay Grove Street SOLD $2,600,000 $1,021,000

FITZROY Lane CARLTONFreeland Barkly Street

SOLD $3,580,000 $1,335,000

FITZROY ESSENDON Gore NORTH StreetDudley Street SOLD $1,410,000 $1,445,000

CLIFTON HILLWarrick Hodgkinson ASCOT VALE StreetStreet SOLD $3,400,000 $800,000

FITZROY COBURG NORTH Glenora Rushall Avenue Crescent SOLD $823,000 $1,304,000

COLLINGWOOD Palmer HAWTHORN Brook StreetStreet


2015 FOUNDATION DAY: SUPPORTING OUR COMMUNITY

WE SLEPT AT THE MCG!

On Saturday 30th May we raised $218,500 for Foundation Day, our major annual fundraiser whereby each of our thirteen offices donates the professional fee from one of their auctions to a chosen local charity.

Did you know that over

Foundation The money raised Day is by an each office willofbethe initiative distributed Nelson to: Alexander Charitable Foundation was Ascot Vale which $21,549 established in 2005School to Glenroy Specialist provide a platform for staff Brunswick $16,980 engagement in community Melbourne City Mission service and fundraising. Palliative Care Carlton North $15,909 Reachits Foundation Since inception the Coburg $11,160 Foundation has distributed Robinson over $1.75Reserve million dollars Neighbourhood House into our local community, Commercial $25,000 supporting many worthwhile Room toand Create causes having a genuine Essendon impact on the $15,682 communities in Essendon which we operate. SES

6,000 young people have no place to call home every night in Victoria? They’re in our city, on our streets, borrowing a friend’s couch, or trying to keep warm on a cardboard mattress. For the past three years Melbourne City Mission has hosted “Sleep at the G” to help raise funds to end youth homelessness, and Nelson

Fitzroyoffi $25,640 Fitzroy ce: Supporting Berry StreetBerry Street with the Ivanhoe sale of$31,409 96 Scotchmer Australian Prostate Street, Fitzroy North.Cancer Research $25,640 donated Keilor East $9,666 Cancer Council Victoria Commercial offi-ce: Kew $7,636 Supporting Room to Create Guide with theDogs sale -ofVictoria 42-46 Easey Northcote $17,000 Street, Collingwood. Villa Maria - Austin St facility $25,000 donated Pascoe Vale $10,500 Pascoe North Primary For moreVale about Foundation School Day and our community Preston $10,391 involvement, please visit Darebin Information, nelsonalexander.com.au Volunteer & Resource Service

Alexander has been there

FOUNDATION

every year to do our bit.

DAY: Supporting

This year our team of 11 set a target of $3,000 and we were really pleased to smash this with a total of $5,307 raised to assist Melbourne’s oldest charity improve the lives of young people suffering homelessness.

our community.


COMPANY NEWS Paul Lunardi

I

t’s been a big first half of the year for Nelson Alexander and I’m delighted to announce that we have once again been independently acknowledged for exceptional results and service in the real estate industry. As winners of the REIV Awards for Excellence we were invited to represent Victoria in the Real Estate Institute of Australia’s national awards, held in Perth in March, and we were honoured to receive the coveted Large Residential Agency of the Year and Community Service awards. To be recognised as Australia’s best agency is something we are incredibly proud of and a testament to the hard work and quality of our people and their culture of supporting our local communities. Another very special highlight and outstanding success was Foundation Day; the major annual fundraiser of the Nelson Alexander Charitable Foundation held on Saturday 30th May, a record $218,500 was raised – soon to be distributed to many very worthwhile causes throughout our

community. A huge thank you to all of our staff for their wonderful contribution. The cold weather has arrived and traditionally the winter selling season slows down with fewer properties on the market. But with no sign of buyer demand slowing, winter can often be a very good time to sell. Independent analysis showed that in 2014, auction success rates were similar for winter and spring. Stable buyer demand and less supply, means potentially stronger competition. Combine this with Nelson Alexander’s leading 13-office (nonfranchised) network, and it’s rarely a bad time to sell! Thank you for your ongoing support. Please get in touch if you are considering selling or leasing, we look forward to hearing from you. Paul Lunardi - Managing Director 0419 461 107


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