Forget Price - This Is What Truly Drives Owner-Occupier Decisions in Melbourne
In This Week’s How's The Market | Edition 110
Forget Price - This Is What Truly Drives Owner-Occupier Decisions in Melbourne
The Calm Before The Storm In Melbourne
RBA Rate Cut Likely As Inflation Falls Within RBA Target Band
Forget Price - This Is What Truly Drives Owner-Occupier Decisions in Melbourne
After spending years speaking to hundreds of different buyers, dissecting their briefs and securing their properties…
I’ve noticed a few key themes that constantly appear.
Now don’t get me wrong.
Every single client and their property requirements and desires are uniquely different.
Though I typically hear one or two of the same things mentioned on every discovery call.
But before I share the secrets.
Why is this important to you?
As a buyer - you more than likely want to make sure you sell your property for more than what you paid for it.
So you want to make sure there is demand in the property you buy so you can get demand when you’re selling.
Or.
When you’re renovating a property you want to make sure that you move your property closer towards the below fundamentals than away from it.
Unlike what I’ve seen with some terrible renovations without the end in mind.
So what is it that truly drives owner occupier decisions in Melbourne?
Natural light.
In at least 60% of my discovery calls, I will hear that natural light is in the top 2 or 3 criteria of a client's brief.
More often than not, this is in the form of a north facing block or north facing living area/balcony in an apartment.
But sometimes, a good east or west facing block with epic skylights or an architectural renovation/extension designed to capture as much natural light as possible can be the wow factor that a client needs to fall in love with a property.
We see this play out at auctions all the time.
Properties with a northern aspect
AND
A northern living, dining and kitchen area that opens up onto a north facing garden through large glass sliding doors always attracts the most attention and highest price.
We have seen nearly identical properties on opposite sides of the road sell for $150k difference, with natural light being the main driving force.
So if you’re buying your next home (or investment property), sometimes paying a little more for better natural light will actually pay off big time in the long run.
What The Agents Are Saying
The calm before the storm.
Many agents have told me this week that it’s been a slower start to the year for their office than previous years.
One agency in the bayside area told me their office was down about 30% in listings for April compared to their long term averages.
Though it seems that things are about to pick up.
Many agents have said they’ve got lots of stock scheduled for next week.
This is officially after school holidays, Easter, ANZAC Day and the election.
Everyone is back from their holidays and we are now entering into the next spring before winter.
There will be a few weeks of good opportunity coming to buy right now.
The Wow Factor!
13A Denman Avenue, Glen Iris, Vic 3146
An epic new architectural build with huge proportions.
Each of the bedrooms are individually massive with sizes beginning at 3.8 x 3.9m.
The downstairs master has a wellness room that comes off of the dressing room which is its own wow factor.
There is a huge north facing void over the living room at the rear of the house designed to capture the most amount of light possible.
Plus the gardens are super low maintenance and take in the epic views over the park behind the property.
A show stopper for Glen Iris.
Price Guide: $4,950,000 - $5,400,000
In The Media
Rate cut likely as underlying inflation falls within RBA target range
A Reserve Bank rate cut on 20 May appears locked in as new data shows the key measure of underlying inflation has dropped below 3% for the first time in three years.
This will also put some heat into the housing market with more stock coming online and loans finally becoming cheaper.
Final Thoughts
Even if it’s not important to you - DO NOT underestimate the importance of natural light.
It’s worth noting that many buyers will attach a substantial financial figure to natural light when looking at properties.
And this will likely be the case when you sell.
So it may be worth tipping in a bit more to get the north facing property than letting it go.
If you or someone you know would like assistance to buy this year, book in a call and we can discuss if we can help.
Thanks for reading this far!
We value feedback and if you have any suggestions on what you would like covered in the future please email me at tristan@tomii.com.au
Happy Buying!
Note: This is general advice and does not take into consideration your objectives, situations or needs. Please consider if this advice is suitable for you and your circumstances and speak to a professional before making any financial decisions.
