Urbis’ assessment of Melbourne’s off the plan apartment market recorded 723 sales from 49 off the plan projects in the June 2017 quarter. Of these, 44% were in the Inner Melbourne area, while 56% were recorded in Melbourne’s middle ring.
In Inner Melbourne, Urbis assessed 321 sales from 33 projects in the quarter, with the sales volume increasing by 64% from the previous quarter, with solid results in a number of projects nearing or achieving presales thresholds.
With the majority of Inner Melbourne sales made up of one-bedroom product, the weighted average sale price decreased by $50,700 to $656,000. One-bedroom, zero car product was the most popular product type in the quarter, accounting for 37% of total sales, compared to 17% in the previous quarter. Mr Mark Dawson, Director of Property Economics and Research, said “This is the first time in over 3 years we have seen one-bedroom, zero-car apartments dominate. This comes on the back of tightening vacancy and rental growth in recent months, with excess demand for one bedroom rentals.”
“The majority of one-bedroom, zero car sales were in the Central and Inner West Precincts, which is unsurprising considering how well connected these precincts are. The level of transport and amenity in these areas and growth in car share options means car spaces are becoming a bonus rather than a necessity for a growing portion of the market” Mr Dawson said.