• Skip to main content
Elaine Davies
  • About
    • Why Us
    • In The Media
    • Testimonials
  • Services
  • Where We Buy
    • Eastern Suburbs
    • Inner West
    • Lower North Shore
  • Bought Properties
  • Blog
  • Contact
  • Buy My Book

What is going on in the Sydney market?

Posted on November 6, 2017 17 Comments

What is going on in the Sydney market?

In short it’s no longer crazy but it’s still moving along nicely. Patchy seems to be the word du jour and I’d have to agree. This weekend’s auction results paint a bit of a picture. There are great deals to be had, like the unit I bought for my client, yet other properties are smashing reserves and expectations.

This is how my weekend's auction result went.

17/54 Penkivil Street, Bondi came on the market a few weeks ago and I always knew it was a great unit.

As the auction drew nearer, my detective head told me that it could prove to be an opportunity for my client, who was happy to renovate. On the Monday prior to the auction, I called him to say, "it’s top floor, has 2-bedrooms, 2-bathrooms, a separate laundry, a 24m2 lock up garage, ocean views, is light and bright and has a blue ribbon address. Get the contract looked at, buy the strata report and let's have a go".

He took my advice and five days later, I bought him this cracker for $1,025,000 at auction. Oh, and by the way, the lock up garage is on a separate title - congratulations Dan!

The Auction Strategy

I had my pre-auction strategy meeting with my client.

The agent had been quoting $850k - $900k but my own research showed it was worth more – what a surprise!

After going through my research again, we settled on a maximum bid, which he then gave me in writing.

17/54 Penkivil Street, Bondi

17/54 Penkivil Street, Bondi
2 beds / 2 bath / lock up garage

Read More

It’s always good to suss out the competition so on the day, I got there early to see who was registering to bid.  My heart sank when I saw a baby boomer helping their adult child buy the property (the worst kind of competition to come up against!).

By the time registrations closed, there were four of us ready to bid and at 11:15 am, we were off. I stuck to my strategy and opened the bidding at $910k.

I heard a young farther, with toddler in tow, tell his partner over the ‘phone that they were already out. I felt bad for him but I had to stay in my bidding zone!

Auction

Only one party bid against me and they were two male developers. I knew immediately that I had to be super aggressive to slow them down. Every time they made a bid I immediately came back with mine. I varied my bids, back and forth, between one, five and ten thousand. Until we reached $1m they were almost as fast as me but from then on, they started whispering to each other.

Bingo!  They’d met their reserve.

For the next couple of bids I made strong eye contact, laughed and smiled. I made it look as if I had all the money and time in the world.

Finally, the auctioneer turned to me and dropped the hammer.

Sold for $1.025m.

I couldn’t wait to call my client and tell him the good news.

Sign of the market

Would that have happened this time last year? Highly unlikely but that doesn’t mean that the market is in free-fall.

Yes, the madness that started late 2012 has mellowed but at the very least it’s become more of a level playing field between buyer and vendor.

According to domain.com.au yesterday’s clearance rate was 65% compared to 80.1% last June, as recorded by pricefinder.com.au.

A 15% drop is big but let’s get perspective. 80.1% wasn’t a hot market, it was a volcanically sweltering and sizzling market where a lot of people got burnt.

Today, in my humble but professional opinion, when a vendor sells a good property at a realistic price, there is equality between them and the buyer.

Just like the property I sniffed out, you can find good buys, but mostly it’s the rubbish properties that aren’t selling. This is why you never panic buy “a lemon” in a hot market but that’s a whole other story for another day!

On Sunday I decided to nestle in and read the paper. I imagined a relaxing read and a coffee but that was not to be. I didn’t get further than the Hot Auctions on page 105. Yes, the headline implied that the journalists went looking for hot auctions but they didn’t have to look too hard.

This is what they found…

Sizzling property market - Sydney
...it was a volcanically sweltering and sizzling market where a lot of people got burnt.

Inner West

new-road-property-16-301-313-stanmore-road-petersham

16/301-313 Stanmore Road, Petersham (busy road!)
1 bed / 1 bath / 1 car

Sold 4th November 2017 for $776k - $76k over the reserve.

Read More

South

6 Gull Place, Lugarno

6 Gull Place, Lugarno
5 bed / 3 bath / 2 car

Sold pre auction $1.5m - $100k over the reserve.

Read More

Eastern Suburbs

92 Birell Street, Bondi Junction

92 Birell Street, Bondi Junction
4 bed / 2 bath / 0 car

Sold 4th November, 2017 $2.28m - $180k over reserve.

Read More

Eastern Suburbs

148 Brooke Street, Coogee

148 Brooke Street, Coogee
3 bed / 1 bath / 4 car

Sold 4th November, 2017 $4.405m - $705k over reserve.

Read More

If you’re in the market to buy a property, click below for my free download:
8 Questions You Must Ask The Real Estate Agent Before You Buy

DOWNLOAD FREE REPORT

The Key To Buying In This Market

As I said earlier, this weekend has shown that the market is truly patchy. So, if you like a property, don’t sit back. Move just as quickly as you would have last year and get your unconditional offer (on contract with a 10% deposit cheque) in long before auction. Ultimately, the race is with yourself and time is money in real estate.

The only caveat, is that you need to know when to move quickly and as with my auction on Saturday, when to hang back. I guess that comes down to market experience and knowing the right questions to ask.

The Key To Selling In This Market

A really fantastic and highly recommended agent, who has worked every market be that cold, warm, hot and sizzling and who knows how to deal with buyers. Listen to their advice.

I’m looking forward to hearing your thoughts on the Sydney market.

Until next time…

Filed Under: Property Skill Set Tagged With: auction, auction strategy, property, sydney, sydney property market

Reader Interactions

Comments

  1. Anne-Marie Brown says

    November 8, 2017 at 9:52 pm

    Great post. Loved your article. I am looking forward to finding one of those gems.

    Reply
  2. meat says

    December 21, 2017 at 7:29 pm

    Hi there, yeah thiѕ piece of writing is in fact ⲣlеasant and I have lеarned lot of things
    from it about blogging. thanks.

    Reply
    • Elaine Davies says

      February 28, 2018 at 12:47 am

      Hi Meat, so sorry I missed you note and thanks so much for the positive feedback. It makes me feel fantastic!

      Reply
    • Elaine Davies says

      May 10, 2018 at 10:58 pm

      Thanks Irma and sorry for the late reply, I missed your comment somehow. My book, Mind Body Sold! is now available on Amazon.com which should help your blogging more. Cheers, Elaine

      Reply
  3. LastGino says

    January 13, 2018 at 12:56 am

    I have noticed you don’t monetize your site, don’t waste
    your traffic, you can earn extra bucks every month because
    you’ve got hi quality content. If you want to know how to make extra bucks, search for: Mertiso’s tips best adsense alternative

    Reply
    • Elaine Davies says

      January 15, 2018 at 5:31 am

      Thanks for that, I’ll check out your site. Cheers, Elaine

      Reply
  4. BestWaylon says

    May 10, 2018 at 4:42 pm

    I have noticed you don’t monetize your site, don’t waste your traffic,
    you can earn additional bucks every month because you’ve got high
    quality content. If you want to know how to make extra
    money, search for: Ercannou’s essential adsense alternative

    Reply
  5. Grady says

    May 31, 2018 at 5:04 am

    Thank you for every other fantastic article. Where else could anybody get that
    type of information in such an ideal means of writing?
    I have a presentation next week, and I am on the look for such info.

    Reply
    • Elaine Davies says

      July 5, 2018 at 7:21 am

      Hey Grady, thanks so much Grady and I hope you’re presentation went well? (Sorry for the late reply! I’ve also written a book, Mind Body Sold which you can get on Amazon, so feel free to use that too but it would be lovely if you credited me. Thanks for the support. 🙂

      Reply
  6. Juliana says

    June 4, 2018 at 2:02 pm

    Hi, i think that i saw you visited my weblog thus i came to
    “return the favor”.I am trying to find things to improve my website!I suppose its ok to use some of your ideas!!

    Reply
    • Elaine Davies says

      July 5, 2018 at 7:20 am

      Hi Juliana, thanks for returning the favour and use all my ideas – that’s what I put them out in the world for! 🙂

      Reply
  7. Ethan says

    June 13, 2018 at 10:09 pm

    Write more, thats all I have to say. Literally, it seems as though
    you relied on the video to make your point. You obviously know what youre talking about, why waste your intelligence on just
    posting videos to your blog when you could be giving us something enlightening to read?

    Reply
    • Elaine Davies says

      July 5, 2018 at 7:18 am

      Thanks for the support Ethan, I really appreciate it! OK, less videos and more content – got it. 🙂

      Reply
  8. Coral says

    June 30, 2018 at 11:47 pm

    This design is incredible! You obviously know how to keep a
    reader entertained. Between your wit and your videos, I was almost moved to
    start my own blog (well, almost…HaHa!) Excellent job.
    I really loved what you had to say, and more than that, how you presented
    it. Too cool!

    Reply
    • Elaine Davies says

      July 5, 2018 at 7:15 am

      Hi Carol, thanks so much for your kind words! Writing a blog is a bit time consuming but if you get into the swing of it, then it becomes fun – let me know if you get started!Having said that, don’t be too hard on yourself – the time is right when the time is right (I feel a gameshow coming on). Hope you like my latest block on the gender pay gap! xx

      Reply
  9. KatieJuicy says

    July 1, 2018 at 1:27 pm

    I often visit your website and have noticed that you don’t update it often. More frequent updates will give your blog higher authority & rank in google.
    I know that writing posts takes a lot of time, but you can always help yourself with miftolo’s
    tools which will shorten the time of creating an article to a couple of seconds.

    Reply
    • Elaine Davies says

      July 5, 2018 at 7:03 am

      Hi Katie, you’re right, I have to focus on my site more! I just posted another blog, so hopefully you’ll enjoy that too but thanks’ so much for the tip on miftolo – is it your software? I’ve just had a look and it’s pretty amazing. Cheers, Elaine

      Reply

Leave a Comment Cancel reply

Your email address will not be published. Required fields are marked *

As Featured In...

Australian Property Investor
rea-logo-v4
APIA
Service.com.au
SHW
now-to-love-logo
starter-pod
elaine-thumb-2
Get Started Now!

Menu

  • Home
  • About
  • Why Us
  • Services OLD
  • Where We Buy
  • Blog
  • Contact
  • Buy My Book
  • In The Media

Contact Us

(+61) 412 362 133

elaine@newroadproperty.com

Buy Property Like A Pro!

8 Questions you MUST ask the real estate agent before you buy

Please enter your name.
Please enter a valid email address.
I AM READY!

Thanks for subscribing! Please check your email for further instructions.

Something went wrong. Please check your entries and try again.

© 2017 Elaine Davies. All Rights Reserved. Website by Website Love