Local Insights – Parkville
By Peter Sarmas on 25 May 2013
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Last week’s 74% auction clearance rate (as reported by the REIV) shows strength in the current Melbourne property market, especially in the inner suburbs, a high auction area.
Despite the fact that some negative news was released this week – Westpac’s consumer confidence fell by a surprising 7%, and Ford announced that they would be closing their manufacturing plants in Broadmeadows and Geelong in 2016 – sentiment in the property market has improved, possibly due to lower interest rates.
Luke Sacco, a partner with Nelson Alexander, says the Parkville area is continuing to perform strongly, largely because there are only 350 properties within the suburb.
“Parkville is one of those areas where you can list a property, regardless of whether it is an apartment or terrace house at the moment, and it usually sells via our auction campaign within a 30 day period.”
“It’s a unique area that borders hospitals and Melbourne Uni,” Mr Sacco continued. “Surprisingly, Parkville is a relatively quiet suburb, even though the CBD is on your doorstep and transport is so accessible.”
Although not a clear indication due to low volume property sales, the chart below indicates a majotiy of sales in the Parkville area are happening around the $500,000 price range.
Source: Pricefinder
The types of buyers looking in Parkville can be varied, according to Mr Sacco. “Buyers range from renters looking to purchase their first one bedroom apartment in the $500,000 to $550,000 price range, to families buying 3 bedroom terraces, to empty nesters buying in prestige apartment blocks like Arcadia and Park Avenue Towers.”
The peak selling times in the past five years, according to Pricefinder, are January to March, May, and September.
Source: Pricefinder
Many Parkville buyers are professionals who have looked in the CBD or the more prestigious East Melbourne market. “They see value in the Parkville market,” Mr Sacco said. “We see them moving in from the west and areas like Essendon and East Melbourne. Parkville is one of those well hidden secrets in Melbourne.”
For more information about Parkville properties, view recent sales in the area.
