I feel like our market is up 10% in the 10 weeks since lockdown ended.
By ‘our market’ I mean period homes in Stonnington between $1m and $4m.
And when I say 10% I’m being flippant. I made this figure up. There’s no stats to back it up yet.
Except for the recent sales results, which I track like a hawk.
Sometimes as agents we get value wrong. It seems to be happening a lot at the moment. It happens a lot when the market is flying.
Let’s take Prahran/Windsor as an example as there are plenty of recent sales to look at, and see just how wrong I’ve been getting it recently.
Below is the difference between the actual sale price (in the past two weeks) and my valuation / expected sale price (from 1-3 months ago)
49 Aberdeen Road – Sold for $160,000 above
76 Chatsworth Road – Sold for $265,000 above
57 Chomley Street– Sold for $240,000 above
17 Andrew Street – Sold for $215,000 above
26 Trinian Street – Sold for $366,000 above
89 Chatsworth Road – Sold for $157,000 above
On average (excluding Villiers) this worked out to be about 10%. Meaning that I was either 10% below the market, or my initial valuation was correct at the time but the market has improved 10% between the valuation and sale. Or a combination of the two.
And as an out of area wild card – I bid for some clients on 12 Villiers Street, Elsternwick on Saturday. Magnificent house but not that big on around 520sqm.
Quote was $2,800,000 – $3,080,000 (NOT Jellis Craig). I thought it was was worth $3,400,000 – 3,500,000 when I first walked through. It sold for $4,100,000 on Saturday. I.e. $1m above the range.
Numbers aside, it’s a good reminder that the market determines price. Not us. Not the vendor.
Disclaimer – I purchased on Thursday so I have a vested interest in the market going up!