Who’s winning and who’s losing when they resell their properties in Melbourne | Pain and Gain Report

The latest Corelogic Pain & Gain Report shows who’s winning and losing when they resell their properties in Melbourne.

Over the March 2019 quarter, resales of Melbourne properties generated $3.363 billion worth of profits and $44.8 million in losses.

MelbourneThese figures indicated that Melbourne generated 23.5% of total resale profits nationally over the quarter as well as producing 7.6% of total resales losses.

Over the quarter, there were no resales at a loss in Macedon Ranges and only a small proportion in Banyule, Melton and Moorabool.

The council regions with the highest proportion of resales at a loss were Melbourne, Stonnington and Yarra.

With dwelling values continuing to fall throughout the city, the share of houses and units resold for a loss rose over the quarter and is expected to rise further over coming quarters.

As you can see from the graph below, in Melbourne, units were higher than 6.8 times more likely to resell at a loss than houses

A2

Gross loss-making sales, Mar-19 qtr Gross profit-making sales, Mar-19 qtr
 

Region

 

% of all sales

Median hold period  

Median loss

Total value of loss  

% of all sales

Median hold period  

Median profit

Total value of profit
Banyule 0.5% 4.6 -$70,000 -$70,000 99.5% 10.7 $360,000 $90,208,889
Bayside 11.7% 3.2 -$55,000 -$2,098,900 88.3% 11.1 $513,500 $91,391,822
Boroondara 12.3% 4.2 -$78,200 -$6,611,500 87.7% 12.1 $563,000 $146,709,006
Brimbank 2.9% 1.6 -$31,250 -$667,433 97.1% 11.4 $303,000 $90,334,590
Cardinia 2.6% 1.4 -$22,800 -$228,050 97.4% 6.7 $220,000 $75,194,589
Casey 0.8% 1.7 -$34,000 -$179,080 99.2% 8.4 $300,100 $252,000,391
Darebin 5.7% 3.1 -$39,194 -$516,378 94.3% 8.6 $265,000 $80,848,099
Frankston 2.3% 1.3 -$23,750 -$323,400 97.7% 9.4 $270,000 $127,380,900
Glen Eira 12.1% 4.2 -$39,500 -$1,389,125 87.9% 9.9 $329,500 $87,568,502
Greater Dandenong 3.6% 1.7 -$12,500 -$208,400 96.4% 11.5 $327,750 $64,860,965
Hobsons Bay 3.0% 3.2 -$38,000 -$240,500 97.0% 11.5 $377,500 $68,513,574
Hume 1.5% 1.1 -$22,000 -$256,500 98.5% 8.4 $252,500 $128,441,803
Kingston 4.2% 3.2 -$38,151 -$760,772 95.8% 9.4 $310,192 $118,573,037
Knox 4.3% 2.1 -$51,250 -$884,000 95.7% 11.8 $325,500 $122,602,294
Macedon Ranges 100.0% 9.2 $430,000 $20,295,719
Manningham 11.1% 3.6 -$47,500 -$1,255,700 88.9% 12.2 $548,000 $98,555,594
Maribyrnong 11.5% 6.8 -$45,995 -$2,462,635 88.5% 9.3 $233,000 $53,825,910
Maroondah 4.1% 1.7 -$25,556 -$403,112 95.9% 10.1 $307,000 $98,549,808
Melbourne 31.8% 7.2 -$44,406 -$5,463,024 68.2% 9.9 $89,550 $46,127,521
Melton 1.1% 2.8 -$13,250 -$96,000 98.9% 7.0 $210,000 $90,429,561
Monash 11.2% 3.5 -$47,900 -$3,602,112 88.8% 12.3 $464,500 $133,108,438
Moonee Valley 13.6% 4.7 -$54,000 -$1,767,240 86.4% 10.1 $369,000 $79,870,801
Moorabool 1.1% 0.5 -$4,000 -$4,000 98.9% 8.6 $209,000 $13,714,810
Moreland 10.4% 4.2 -$35,500 -$1,483,390 89.6% 9.3 $260,000 $97,874,588
Mornington Peninsula 1.6% 1.9 -$72,500 -$950,000 98.4% 9.2 $327,000 $254,921,522
Nillumbik 2.7% 2.4 -$30,100 -$97,100 97.3% 12.1 $451,750 $53,632,321
Port Phillip 17.0% 6.3 -$40,000 -$3,221,637 83.0% 9.3 $214,000 $82,733,165
Stonnington 24.0% 6.8 -$53,000 -$4,840,494 76.0% 9.6 $270,000 $63,853,704
Whitehorse 8.7% 3.6 -$29,000 -$1,053,500 91.3% 14.7 $558,300 $132,427,512
Whittlesea 3.0% 3.6 -$15,500 -$375,972 97.0% 7.7 $315,000 $112,477,945
Wyndham 2.4% 1.6 -$35,000 -$778,400 97.6% 7.9 $284,700 $181,543,253
Yarra 18.5% 5.0 -$35,000 -$2,077,500 81.5% 8.8 $300,000 $64,885,330
Yarra Ranges 2.2% 2.2 -$37,350 -$423,200 97.8% 10.0 $300,000 $126,428,869

You may also want to read:

Latest Pain & Gain Report shows who’s winning and losing when they resell their properties

fact: our markets are on the move

icon-podcast-large

Subscribe & don’t miss a single episode of Michael Yardney’s podcast

Hear Michael & a select panel of guest experts discuss property investment, success & money related topics. Subscribe now, whether you're on an Apple or Android handset.

Need help listening to Michael Yardney’s podcast from your phone or tablet?

We have created easy to follow instructions for you whether you're on iPhone / iPad or an Android device.

icon-email-large

Prefer to subscribe via email?

Join Michael Yardney's inner circle of daily subscribers and get into the head of Australia's best property investment advisor and a wide team of leading property researchers and commentators.


Cameron Kusher

About

Cameron Kusher is Corelogic RP Data’s senior research analyst. Cameron has a thorough understanding of the fundamentals such as demographics, trends & economics. Visit www.corelogic.com.au


'Who’s winning and who’s losing when they resell their properties in Melbourne | Pain and Gain Report' have no comments

Be the first to comment this post!

Would you like to share your thoughts?

Your email address will not be published.
CAPTCHA Image

*


facebook
twitter
email