Category Archives: Latest

October 16, 2018

Will The Block apartments sell in 2018? Back

If you’ve only recently tuned in to this year’s season of The Block, you may be surprised to learn what St Kilda’s Gatwick Hotel was like before the teams worked their magic. Forget sparkling bathrooms, fresh paint and designer furniture… we’re talking drugs, murder and some seriously icky rooms.

It’s pretty amazing then that the freshly renovated apartments that make up this former home of the down and out are speculated to be auctioned off for $2.2 million to $2.75 million a pop! It leaves us wondering, is this really what the apartments are worth? Or has the hype of the show blown these prices out of proportion?

The Industry Insider team had the privilege of having a firsthand look at these apartments in the flesh – here are our thoughts.

The Gatwick of the past

The Gatwick would have been a beauty in its heyday. It was built in 1937, a luxurious modern hotel with a sweeping staircase and high ceilings designed to house navy personnel between world wars. There was even the drawcard of a famous oriental chef.

In the 50s it was purchased by a Maltese-born woman named Vittoria Carbone, who began offering discounted lodging for the city’s hard done by. When she passed away in 1998, her daughters continued her legacy but struggled to keep up with the cost of the location. By then, The Gatwick had become synonymous with crime, Yahoo 7 reporting 74 crimes between 2013 and 2014.

New kids on The Block

Before The Block teams began work, The Gatwick was seriously run down. You can see some pictures of its condition before renovations began.

Channel 9 purchased the building for almost $10 million in 2017, and has divided what was once 66 rooms into 4 luxury apartments and 2 penthouses. (They also reportedly found 389 syringes while cleaning up the site.)

It’s a very different story now, though. If you’ve been watching over the past few weeks, you will have seen all five teams work tremendously hard to transform the building. And their hard work is predicted to pay off – with online property listings for the apartments touting a price range of between $2.2 and $2.75 million.

Media hype or not?

If you were to ask us 12 months ago if we thought renovated apartments like this would fetch these sorts of prices in St Kilda, we’d be happy to predict that they’d sell at auction without a problem. However, with current market conditions favouring the buyer, this series could be very different to the past couple of years.

We hope for the sake of the contestants and the agents who have been working tirelessly behind the scenes that they all achieve great results on 27^th October.

The median house price in St Kilda over the past year has fallen by 21.8% to $1,029,000, while unit prices have increased by 1.4% to $527,000. Other properties listed in the area are on the market for upwards of $3 million – however they offer a land component. The Block apartments are of the art deco era and they offer varied floor spaces and outlooks from each of their open space areas.

We wouldn’t be hugely surprised if some of the apartments end up passing in at auction – with the combined power of negative media and the fact that a majority of buyers’ borrowing capacity has greatly reduced in light of the Royal Commission.

Nevertheless, media hype directly generated from The Block has also drawn considerable interest to the St Kilda area. The Gatwick has had a bad name for a long time, and many local residents are pleased about it being cleaned up, bringing property value and liveability in the area up considerably.

Our firsthand take

The Industry Insider team took a walk through the renovated Gatwick apartments recently, and we’re thoroughly impressed with what we saw. Kerrie and Spence’s apartment hosts a stunning kitchen area, while Bianca and Carla blew us away with their outdoor alfresco area. Plus, we were inspired by what Courtney and Hans have done with their living areas. It’s interesting that the 2 penthouses are smaller than the 3 other apartments – but they still wow with high ceilings and natural lighting.

Norm and Jess have played the game well. Their penthouse faces south, however it feels light and bright. With the Domain magazine cover under their belt, this will no doubt help with some extra market exposure.

We think that Sara and Hayden, though positioned as underdogs, are in with a good chance as they’ve carefully selected their apartment from day one. The northeast facing terrace is ideal and the apartment has an eclectic flair throughout. If their reserve is set realistically, we think they can win!

The apartments border the more sought after St Kilda West precinct and certainly offer an ideal lifestyle, close to the foreshore and Albert Park. However, we are slightly disappointed that they only come with one carpark per apartment. We wouldn’t expect these to be sold with the idea of investment in mind, as they’re more likely to be purchased by people looking for the St Kilda luxury lifestyle.

It will be interesting to see what happens at auction on October 27^th, and what the apartments will really sell for. We’re also keen to see the flow-on effect from this year’s season of The Block into property prices in the St Kilda area. If you’re interested in bidding on one of the apartments, Industry Insider have our finger on the pulse when it comes to Melbourne property. Contact us on 1300 181 997 for more information about how we can help you on auction day.

November 17, 2018

How the Metro Tunnel will transform Melbourne Back

If you’ve visited Melbourne in the past few months, or you’re a local resident, you will have noticed the massive infrastructure works currently underway as part of the $11 billion Metro Rail Project.

This massive piece of construction involves a twin 9km rail tunnel running from Kensington to South Yarra as part of a new end-to-end development from Sunshine to Dandenong. Commuters, we’re pleased to inform you that the project will create capacity for an additional 504,000 peak passengers each week across the network.

The rail tunnel will cause traffic and amenity disruptions to nearby residents in the short-term, but there will be many positive outcomes for property owners and commercial tenants. These include increasing accessibility to public transport and reducing noise, traffic and pollution on the roads. Here’s a snapshot of how the Metro Tunnel is transforming our marvellous city.

Providing economic benefits       

Melbourne’s transport network was last overhauled with the construction of the City Loop over 30 years ago. And, with Melbourne’s population expected to grow to 7.7 million by 2031, it’s about time our main rail network was updated to reflect this growth.

It’s now clear what the Government’s business case for the Metro involves. For every dollar invested, will be a return of $1.50 when the wider economic benefits are considered. Over 60% of project benefits will flow to public transport users, which will have flow on effects for easing congestion and reliance on cars.

Re-shaping the cityscape and creating jobs

Construction on the Metro started in 2016, and the whole project is expected to be completed by 2026. The 45 projects currently in construction are directly contributing to 12,000 jobs across Victoria.

Construction of the eastern tunnel entrance precinct is underway, with the entrance at South Yara’s Siding Reserve. 50 workers are currently preparing the tunnel entrance sites for construction, with more than 150 workers set to be on-site by the end of October, including a mix of apprentices, trainees and engineering cadets. Works will require the demolition and rebuilding of William Street Bridge, which will mean temporary rail disruptions on the Cranbourne and Pakenham lines, but which will result in a better rail network long term.

 Providing long term benefits to surrounding suburbs

There will be five new underground train stations as part of the Metro Tunnel project for North Melbourne, Parkville, State Library, Town Hall, and Anzac stations. Along with greater accessibility for public transport passengers, the stations will also provide retail opportunities and benefits to the local areas, including relief to the heavily congested Swanston Street/ St Kilda Road tram corridor.

In particular, Anzac Station planned for the corner of St Kilda Rd and Domain Road will service thousands of residents who live and work there. It’s expected to carry up to 40,000 passengers daily by 2031, supporting some 33,000 workers and 17,000 residents who live within 800m of the location. Designed with a striking canopy above the tram interchange, the station will have three main entrances to provide passengers with an integrated journey.

As expected, property prices have remained stable around the Domain precinct. The apartment market is growing in this area, such as the stunning Mayfair apartments, along with purchases of new commercial spaces on St Kilda Road, which will benefit from the convenience of a new station.

The Melbourne Metro is set to transform our city by providing a host of new benefits in the years to come. If you’re looking to buy or sell property in the areas affected by the construction works, we can help provide informed advice about how to achieve your property goals. Call us on (03) 8374 7652 for your no-obligation consultation.

October 13, 2018

Why spring might NOT be the best time to sell Back

We get a lot of sellers asking us: “should I sell my house in spring?” With your garden looking so fresh and buyers coming out of hibernation, it sounds like the ideal time to put your house on the market, right?

Maybe not – the season isn’t the only thing that affects how your house sells. Let’s take a closer look at why spring might not be the best time to sell and what you can do to improve your chances.

More competition in the market

The real estate market typically goes quiet in winter and picks up in spring when the nicer weather lures buyers out to inspections. While foot traffic is great, it also means that there are more properties on the market, increasing competition.

If the demand from buyers doesn’t match up with an increase in available properties, it can cause an oversupply in the market. Many homes become stale and can sit there unoccupied for months.

Serious home buyers will be there – rain, hail or shine

If you need to get out of your home, it may not be worth waiting until next spring. Someone who’s serious about buying a home will show up to your open house – no matter the weather.

In winter, stormy weekends tend to keep people who are really just entering the market away as they typically don’t brave the rain. However, serious buyers will race to see a property, umbrella in hand, especially if it’s the first time it’s being shown.

Consider winter as an option because competition is lower. If your home is priced and presented well, buyers will still come.

Tips to prepare your home for a spring sale

There really isn’t one best time of the year to sell your home – apart from when your property is 100% ready to be sold.

If springtime appeals to you, here are a few things you can do to get your property set for success:

1. Make sure your property is well aired – winter tends to bring mould, so remove any spots from walls, windows and ceilings by diluting white-vinegar in water as a cleaner.
2. Give outdoor areas a facelift – with better weather in spring, be sure to fertilise lawns and gardens, wash decks and driveways, and add a few indoor plants to bedrooms.
3. Accessorise – think brighter colours for cushions and towels as they can act as a mood booster to your home.
4. Invest in good photography – it’s often the first thing that buyers see, so make sure you invest in getting some great internal and external photos taken of your property (and it might be worthwhile to pay that little bit extra for colour adverts).

 

The reality is that there are so many things that affect how well your house will sell, such as property trends, location and market competition. There’s no one time that’s going to suit everyone, so it’s best to get expert advice – and that’s where we come in. We know the ins and outs of the industry, so if you’re thinking about selling, give us a call us on (03) 8374 7652 for your free no-obligation consultation.

August 18, 2018

South Yarra & Melbourne’s Inner South A Spotlight On Victorian-era Homes Back

Over the last 5 or so years, Melbourne’s inner South – encompassing suburbs such as South Yarra, Windsor, Prahran, and more – has boomed as a property hotspot. The area’s proximity to the CBD, vibrant culture, plethora of restaurants, parks, sporting venues and more have all attracted the attention of buyers.

But it’s not just the location that sees 30-something-year-olds and investors flock to the Inner South – it’s the kind of buildings and architecture available. Particularly coveted are the Victorian-era single-fronted and double-fronted houses.

Here, David Hewitt (Property Consultant for Industry Insider and owner of his very own Victorian home) discusses the appeal of these houses, what potential buyers should look out for, and how Industry Insider can potentially help you find and buy your dream property.

Victorian homes: what’s all the buzz about?

The Victorian-era properties scattered throughout South Yarra and the surrounds date back to the Gold Rush. Way back in the 1850s-60s, these exquisite homes were built for miners, who, evidently, had a lot of cash to spend.

And the obvious capital invested in them 150+ years ago has stood the test the time; with features like double brick, high ornate ceilings, and an attention to detail that, frankly, you just don’t see these days. Even if someone had the money to try and replicate a Victorian single-fronted or double-fronted home today, they would struggle to find the expertise to do so, especially in our fast-paced, economically-focused world of property.

What you should know before buying a Victorian-era home

Being such charming, detail-oriented, high quality, and unique homes, it makes sense that these  beauties have caught the eye of so many. Over the last 4 or 5 years, this increased demand has been noticeable in property prices – rising by around 40%.

As we’d expect, budget is the primary factor for many buyers itching to land their own Victorian-era home. Within South Yarra, Prahran, Windsor, and the surrounding suburbs, the very minimum you should expect to pay is around $1.1 million.

That’s not even taking into consideration possible costs for renovations. There are still homes within the Inner South that are yet to get a facelift, and, if you want to save money, these might appeal to you. However, renovating a period home, especially from the Victorian era is a labour of love. Although they have incredibly solid foundations, there is often a lot of work required to getting them up to scratch, thanks to the era they were built in and how much has changed since then.

Of course, you can buy a home that’s already been renovated and brought into the modern age, but this will significantly drive up the purchase price.

A Victorian isn’t for everyone…

The appeal of Victorian homes has put them on the map, but does that mean they’re for everyone? When working with a potential buyer, Industry Insider takes into consideration a whole range of factors – such as borrowing capacity, lifestyle, what they want out of a home, property history, return on investment, whether they want to renovate or a key-turn solution, etc.

Sometimes, it’s evident that another type of home will fit the brief better. For example, Edwardian homes are built with similar aesthetics and high ceilings but have lower level of details, and thus, a lower price point. Or consider modern homes – built more recently in the 1960s and 70s and in a ‘blockier’ style, but with a similar level of quality craftmanship that can be enjoyed in a Victorian.

At the end of the day, helping you find your dream property is our aim, and what that ‘dream’ is might not always be what you originally had in mind. If you want to find out more about Victorians or other period properties, the inner suburbs of Melbourne, or how we can help you, call us on 1300 181 997 for your free no-obligation consultation.

May 25, 2018

Our way of giving back to our Community Back

Real Estate Sleep Out

Here at Industry Insider, we try our best to recognise the privileges and challenges that each of us been dealt in our lives.

As people who are accustomed to the peaks and troughs of life, we know all too well that sometimes individuals need a helping hand to achieve their potential.

Indeed this is a core tenant of our organisation.

This is never truer than in our youth.

We have been offered the opportunity to be one of those helping hands but in order to affect change, we need the support of many.

In the work that we do here at industry Insider, we believe that we are privileged to be able to help many people achieve the goals that they have worked so hard for, however, there are many people who, because of their circumstances, are in need of help.

With over 44,000 Australian Youths living out on the street on any given night of the year, we feel that once again it is our privilege to be in a position to help.

This July the entire Industry Insider Team, plus a few valued supporters, have committed to Sleeping Rough as participants in the Real Estate Sleep Out.
This event is run by the Youth Off the Streets Charity and raises money for their various programs, which include, crisis and short-term accommodation all the way to long-term residential care, counselling, rehabilitation and secondary education.

We know that everyone gives back to their communities differently, however, we ask that you support us in this endeavour.

After all, many hands make light work.

If you would like to donate please click HERE to go to our donation page, please remember that every little bit makes a difference.

Have a nice weekend!

April 18, 2018

Home loan approval tips for first home buyers Back

At Industry Insider it’s our great pleasure to help many first homebuyers make their way onto the Melbourne property ladder.

It’s always a buzz seeing the transformation from hopeful buyer to successful new homeowner smiling in front of the SOLD sign.

Behind the scenes, there’s often a lot of education and support involved in helping our clients achieve this life milestone.

To streamline this process, we regularly refer to our trusted colleagues across the industry, including mortgage broker Dylan Day and the friendly team at Loan Market in North Melbourne.

That’s who we spoke with recently to compile these useful loan application tips and insights.

Planning ahead: Are you ready for a home loan?

Spending your nights trawling online real estate listings and envisioning the perfect kitchen splashback might not translate into being truly ‘home loan ready’.

Chances are, you’ve been planning for a long time and ardently saving your hard earned cash to be able to put down a home deposit. So how do you know if you’re ready to go?

Dylan Day suggests a thorough review of your recent financial behaviour so you can win the banks over.

“It’s more important than ever to be aware of your own conduct ­– how you spend your money, your living expenses, any overdrawn accounts, credit cards and things like HECS debts.

If you’re going to borrow half a million but you’re late with paying a phone bill, the banks might not feel comfortable approving your home loan.”

This might be a timely reminder to tighten the reigns across all of your financial commitments and spending habits before you set down the home loan approval path.

This way you’ll be in the best possible position to confidently apply and manage your mortgage.

 

Starting the loan approval process

Dylan works with many young first home buyers and sees his role as encompassing financial education as much as securing the right loan for his clients.

He understands that people are sometimes daunted by the process and the sheer weight of their obligations when it comes to a home loan.

He explains, “A point of difference I look to provide is tailored financial education to make sure clients understand the significance of their mortgage as a liability – not something to be feared but to be understood and planned for.

This education always includes a free initial face-to-face appointment to discuss the client’s homeownership goals and financial situation.

In this initial appointment, the broker explains the mortgage and can go through the breakdown (schedule) of costs.

Dylan stresses the importance of having an independent home loan expert talk you through this often complicated schedule of costs and terms – particularly as an inexperienced buyer.

 Parental guarantees, LMI & mortgage myths

There are some cases when first home buyers are able to get some financial assistance in the form of a parental guarantee.

Dylan manages this process regularly and says it doesn’t need to be a fearful arrangement (for parents or the first home buyers).

As long as both parties are aware of their risks and obligations, a parental guarantee can be a convenient and cost-effective step towards home loan approval.

 

Dylan hopes to dispel the myth that parental guarantees are a recipe for a full-on family feud: “The parental guarantee is sometimes a good way for buyers to avoid LMI (Lender’s Mortgage Insurance).

In times gone by, parents would gift their money to their kids for a property.

A parental guarantee is an extension of that in some ways.

This needs to be explained correctly by an experienced mortgage broker who can talk you through the process and responsibilities.”

 Working out your borrowing capacity

Your mortgage broker (or the Loan Manager you deal with directly at a bank) will carefully examine your borrowing capacity by weighing up your income, expenses and any liabilities.

That means that by the time your application is lodged, all that’s left to do is wait for the final approval.

Dylan reminds us that “a ‘no’ from one bank does not necessarily mean a ‘no’ from all banks” – helpful encouragement for a nervous stage in the buying process.

Deciding on the right loan

Ultimately you have to be comfortable with the agreement you’re entering into.

A broker can present your options and help you clearly navigate your choices obligations – but the final decision rests with you.

If you’ve done the hard work through planning and carefully considering your financial situation then you’re ready to take that all important step onto the property ladder – congratulations!

No matter what stage of the property buying journey you might be at, Industry Insider is always at hand to point you in the right direction. Contact us on 1300 181 997.

December 6, 2017

Summer Opportunities in the Melbourne Market Back

Summer in Melbourne is traditionally a time for chilled out barbecues, the Ashes test series, Australian Open and swimming between the flags. But the heat of summer in Melbourne isn’t a particularly sizzling season when it comes to property. In fact, with many real estate offices closed for the New Year break and with school holidays in full swing, the auction market closes down for 6 weeks! Agents have already booked auctions in for February and March 2018.

While some property buyers might see this as a time to switch off, at Industry Insider we see it as an opportunity to get ahead in your property search for 2018. Here’s why:

Off market and pre-market opportunities

With no more auctions booked for 2017 and the next phase starting up late February, there are agents who are open to taking offers on properties before the auction campaign begins. If the seller’s motivation is high – (i.e. they have bought elsewhere) this could be an extremely good opportunity!

Fewer buyers = less competition & more negotiation power

With many Melbournians planning their holidays and downtime around the New Year period, it makes sense that there’s a little less competition for buyers in the summer months.

The Melbourne property market then typically heats up a notch in February, with a return to ‘business as usual’ in auctions and private sales.

Get a leg up on the competition and head into summer with the ability to make strong offers on the properties you want. To do this, you might want to reach out to a buyer’s agent who can help find the right properties for your budget.

At this stage, you should have secured finance pre-approval and have a solid idea of what you’re looking for in a place and location.

Summer time’s on your side

If you’re like the many Melbournians who take time off work over the Christmas and New Year period, chances are you have a bit of time to yourself as the mercury rises. Why not use this to your advantage and spend some time in the property locations you’re interested in?

You could take the family or your partner for a picnic in the local park, have a look at the area’s homes and amenities and generally get a feel for the neighbourhood. By the time 2018 is in full swing, you’ll already feel like a local and be able to make a more informed property purchase.

Christmas leftovers

Don’t dis the Christmas leftover… Just as turkey sandwiches and new toys can be a Boxing Day delight, so too can the property that doesn’t sell at auction in December. This is your chance to take advantage of the fact that some vendors are looking to sell and settle ASAP.

The start of the year can bring major life changes like work relocations, retirements and new additions to a family – this can put pressure on vendors to sell early in the New Year. If you present a good offer on a property that someone needs to leave, it’s likely you’ll be in a good position to secure a deal.

An experienced buyer’s advocate like Industry Insider can help you make an informed decision in any season by providing industry expertise, market insights and negotiating skills, to ensure you make a smart property purchase. Give us a call to get started.