…The Christmas Rush

Fifty-Seven Clive St West Footscray went to auction as one of the inner-west’s last scheduled public auctions of the year. Two buyers advocates (including myself) were in attendance and overall there were more than 6 bidders.  I think the auction at 57 Clive St surprised everyone with a result of $874,000.  This is the second highest sale in the suburb for the year and I was surprised, despite the momentum in the area at the moment and the strong demand for family-sized homes. Local agents who attended the auction commented on the extraordinary result and largely attributed it to ‘the Christmas rush’; a widely recognized buyer-fuelled run up to the last auction weekend of the year. This house was no exception. It’s attributes included a great, wide street (arguably one of WF’s best streets), a fabulously large block and a cute front façade, however the detractors included a semi-renovated house, only 3BR, kitchen upgrade required and a bit of a list of building report issues to be rectified. The two advocates were united on where they initially believed the sale price would result, but as they say, a house is worth what people are prepared to pay for it; certainly in a public and competitive auction environment.

The highest residential property sale in 2014 was 39 Clive St $935k in November this year – and this was this sale which I used to benchmark and appraise the property in question.

57 Clive St offered great land, a right of way, an easy walk to the Barkley St shops and a fantastic façade. The negatives were apparent though; a house which required restumping, cosmetic attention internally, an extra bedroom and bathroom and a real makeover. I felt that there was at least $100,000 between the two properties in terms of improvements. However, what I underestimated were three factors;

1. The inherent value in the large block of land
2. The pace of the market in the family-house category, and most of all –
3. The fuel behind the Christmas rush and the lengths that some buyers were prepared to go to on this last auction day of the year.

It’s difficult for buyers to predict just how aggressive the bidding could be on that last auction day – particularly when the availability of family homes in the area is sporadic and limited.

To compound the scarcity issue, West Footscray is intriguing because it’s a gentrifying suburb not only within a 10km distance to the CBD but it’s also spoilt with two train stations (both of which have been revamped with the recent western rail link works). It’s fair to say that the suburb house prices have exploded because West Footscray is a cheaper alternative to nearby Yarraville and Seddon, and it is well known for its larger house blocks and Californian Bungalow and Edwardian era houses. Families love the area and getting around is relatively easy, with Geelong Road, The Westgate Fwy and the Ring Road all pretty close by.

The evidence of this patch’s gentrification is in the café culture emerging on Barkly St. Many new players and great cafes/restaurants spoil the locals, and Indian food-lovers have singled out Barkly St as home to some of Melbourne’s best curry dishes.

Brother Nancy is one of the newest additions to the Barkly St line up, and Gusto Pizzeria and Wine Bar doesn’t disappoint..Not to be forgotten, Ebi Fine Food is a lovely take away option if you like the novelty of Japanese food in a fish and chip shop served in bento boxes. And last but not least; Pod Café is a cutie café offering arts and crafts too. West Footscray is an underrated mecca of new food options and dining experiences…… we Yarravillians look forward to broadening our horizons!