Fewer sales, more prof­its

Weekend Gold Coast Bulletin - - NEWS - JES­SICA BROWN jes­sica.brown@news.com.au JES­SICA BROWN

GOLD Coast home­own­ers are pock­et­ing $7500 more on the sale of their homes than they were a year ago de­spite fewer prop­er­ties chang­ing hands.

The lat­est CoreLogic Pain and Gain re­port, which was re­leased to­day, shows the me­dian profit jumped from $120,000 in the June quar­ter last year to $127,500 in the same pe­riod this year.

That was de­spite the to­tal value of profit drop­ping from more than $518 mil­lion to al­most $453 mil­lion, which CoreLogic re­search head Tim Lawless said was a re­sult of fewer sales.

“The re­duc­tion in the gross value of profit-mak­ing sales is due to there sim­ply be­ing less turnover,” he said.

“Fewer sales has a drag­down ef­fect on the over­all gross value of sales ac­tiv­ity.”

While the data showed a slight in­crease in the num­ber of prop­er­ties sell­ing at a loss, Mr Lawless said 91 per cent of sales were still fetch­ing a profit.

“The data will move around a lit­tle bit from quar­ter to quar­ter, how­ever the clear trend on the Gold Coast is to­wards an in­creas­ing por­tion of prof­it­mak­ing sales,” he said.

“This trend has been ev­i­dent since early 2013 when the por­tion of profit-mak­ing sales started to con­sis­tently trend higher from a re­cent low point where only 62 per cent of re­sales were at a gross profit.”

The me­dian hold pe­riod has also in­creased, which Mr Law-

“SIM­PLY PUT, DUE TO IN­CREAS­ING PRICES, RE­DUCED MAR­KET SEN­TI­MENT AND TIGHT­EN­ING OF LEND­ING POLI­CIES, A RE­DUC­TION IN THE OVER­ALL NUM­BER OF PROP­ER­TIES (THAT HAVE) SOLD HAS OC­CURRED,” SHE SAID.

RAY WHITE MER­MAID BEACH AGENT TASH SAN­TOS

less at­trib­uted to tighter credit con­di­tions mak­ing it hard for home­own­ers to up­grade or re­fi­nance.

REIQ di­rec­tor John New­lands, who is also the prin­ci­pal of Pro­fes­sion­als New­lands Real Es­tate at Surfers Par­adise, backed Mr Lawless’ com­ments.

“There’s gen­uinely less list­ings out there as well, the stock is still very tight,” he said.

“I think some people are stay­ing put and ren­o­vat­ing.”

Ray White Mer­maid Beach agent Tash San­tos said house hunters also didn’t feel the need to buy so ur­gently as there was less com­pe­ti­tion.

“Sim­ply put, due to in­creas­ing prices, re­duced mar­ket sen­ti­ment and tight­en­ing of lend­ing poli­cies, a re­duc­tion in the over­all num­ber of prop­er­ties (that have) sold has oc­curred,” she said.

How­ever, she said the mar­ket was ex­pected to re­main steady, es­pe­cially com­ing into spring, which was tra­di­tion­ally known as the sell­ing sea­son. ONE of the Gold Coast’s big­gest real es­tate heavy hit­ters has listed his mul­ti­mil­lion-dol­lar lux­ury pent­house.

Man­age­ment-rights in­dus­try vet­eran Frank Pi­cone’s Pa- lazzo Ver­sace apart­ment has hit the mar­ket with a hefty $5.75 mil­lion price tag.

The three-bed­room res­i­dence is noth­ing short of op­u­lent with hand­crafted mar­ble mo­saic and pol­ished par­quet floors, or­nate ceil­ings with gilt de­tail­ing and floor-to-ceil­ing win­dows fram­ing the Broadwater and city sky­line views.

It is one of six pent­houses in the five-star build­ing and comes fully fur­nished with pieces from the House of Ver­sace in Mi­lan.

The sale price re­mains un­known as the 72 Ver­sace con­do­mini­ums are all on com­pany ti­tle and trans­ac­tions do not go on the pub­lic record.

The prop­erty is be­ing mar­keted by Kol­losche Pres­tige Agents di­rec­tor Michael Ko-

Man­age­ment-rights in­dus­try vet­eran Frank Pi­cone’s Palazzo Ver­sace apart­ment has hit the mar­ket with a hefty $5.75 mil­lion price tag.

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