Apartments and units in Moorabbin have withstood the property market slowdown, a leading real estate agent says.
Ray White Moorabbin principal Kieran Lynch said cash-strapped buyers had buoyed the area’s unit market in their hunt for greater affordability.
But he said house prices in the Moorabbin area had taken a hit as Melbourne’s property market came off the boil this year.
“The market has fallen away in the later part of the year, with house prices in particular potentially falling by about 20 per cent,” Mr Lynch said.
“But unit prices seem to be holding up reasonably well.
“I think that’s the result of people’s borrowing capacity being restricted with banks not giving out as much money since the royal commission into banking.
“The banks have tightened up so much and buyers can’t get the same amount of money or they’re not getting any money at all.”
Mr Lynch sold 911/6 Station St, a two-bedroom apartment on the ninth floor of the Bayside Tower building, for $513,000 in a private sale on October 10.
Just over a month later, he sold an identical apartment five floors down at 415/6 Station St via private sale for $510,000.
In the unit market, he sold the renovated two-bedroom villa unit at 7/88 Chapel Rd for $605,000 after auction on March 19, followed by the similar unit at 4/88 Chapel Rd for $578,000 at auction on July 28.
Mr Lynch said there had been a small rise in the number of first-home buyers since the introduction of stamp duty concessions and they were also setting their sights on the more affordable apartment market.
He said another key shift in the 2018 market was the departure of developers who were also finding it hard to get finance to bankroll their projects.
CoreLogic sales results to December 10 show 27 apartments, units and townhouses in Moorabbin were reported sold in 2018, with prices ranging from $1.295 million for the four-bedroom townhouse at 5B Bruthen St to $370,000 for the one-bedroom apartment at 712/6 Station St.
By comparison, 38 Moorabbin house sales were reported, led by the $1.45 million sale of the four-bedroom house at 4 Florida Court and rounded out by the $860,000 sale of 249 Chesterville Rd.