News

August 31, 2016

August – a big month for real estate

By Principal of First National Newcastle City, George Rafty.

Residential sales have been strong in August for First National Newcastle City. We have had some exciting properties on the market that have all achieved incredible results.

The Junction

Starting with Kenrick street in the Junction, you might have seen this high quality duplex being marketed over the past couple of weeks. Both dwellings have now sold, one before entering the market, both achieving record prices of $2.1 million each.

 Kitchen 43 Kenrick Street

Kitchen at 43 Kenrick Street, one of two duplexes sold for $2.1 million this month. 

Our clearance rate is over 90%, well above the industry average, and properties are selling 'off-market'. Without navel-gazing too much, I think it comes down to doing things the right way. Some of our vendors like off-market selling because they are able to maintain privacy. In these cases, we use our database instead of going through an open market advertising campaign.  

Bar Beach

I’m not sure if you saw the article in the Herald on the weekend about the record sale in Bar Beach Avenue? This strip of land in Newcastle has always fascinated me. The strength of the home values on the Avenue is unrivalled.   

10 Bar Beach Avenue

10 Bar Beach Avenue selling for $4.1 million to a local business man.

We have also sold number 12-14 Bar Beach Avenue recently, and can confirm number 8 is coming on the market this weekend. The first open house is Saturday September 3rd at 2pm or you can view by appointment. If you have any questions prior, please don’t hesitate to contact us.  

Newcastle East

Newcastle East is another strong suburb where we have had fantastic auction results. Last weekend, 4 Beach Street, Newcastle East sold for $1,309,000, up nearly $600,000 from when it was previously on the market 3 years ago. That is a 28% price growth per year! There were no improvements made to the property in this period.

We believe there is more growth to come from this beach-side community nestled near Newcastle beach, the harbour and a revitalised Hunter street mall. The place has got a lot of history, and the lifestyle for “EastEnders” is unbeatable.

Auction at 4 Beach Street

People attending auction at 4 Beach Street, Newcastle East.

It is also a friendly place to have an auction. We are lucky to have locals interested in attending, we had about 100 people join us at our Beach Street auction, and this creates a really special vibe. The residents who buy into the area buy to stay on, renovate and enjoy the cafes, beach-walks and sense of neighbourhood.

 Neighbourhood

Newcastle East, home of the Kiwi waffle and Scotties fish 'n' chips.

We have had a string of properties sold in Newcastle East over the past few months, all selling for between $200K and $400K over reserve. 

Newcastle East Art

 A typical Newcastle East terrace. Artful and with charm. 

Property outlook

The outlook is bright for Newcastle residential sales over the next 2 years. With new investment in infrastructure offsetting the decline in the coal sector, this is having a positive impact on the region’s economy. This, along with a continued widening price disparity to Sydney appears to be incentivising migration to the region. We expect to see house price increase further over the coming period.  

Outlook

Newcastle East, popular with new and established Novocastrians. 

Thank you for your support

On a personal note, the office is 8 months old this month and we are growing month-on-month. To me, business is not about doing deals or wearing fancy suits. To me, business is about being true to yourself and doing what you love. I wanted to say thank you for allowing me to be true to my ideas of what a good real estate company should be. I believe the essence of a good real estate agency is doing things the right way. Right by the customer, my team and our community.

I look forward to seeing you soon! 

Warm regards

George