Auction Buyers Unperturbed by Rate Rises
February 10 2023
There were no signs of concern about rising rates among those vying for a property under the hammer on Palm Beach’s prestigious Jefferson Lane.
Bidding for the 597m2 absolute beachfront parcel, topped with an original three-bedroom Tuscan-style home, soared well beyond the vendor’s expectations in what was an exceptional sale for southern beaches specialist agent Troy Dowker.
Fifteen people grabbed a paddle with seven actively bidding for the property in what was a heated auction culminating in an $8,900,000 unconditional sale. The Jefferson Lane home had been in the hands of the same owners since 1995, when they bought it for $975,000.
The sale came mere days before a meeting of the Reserve Bank, which led to the first interest rate rise of 2023, with the cash rate gaining 0.25 percentage points to reach 3.35 per cent. The upward shift continues what is the largest and fastest rate hike cycle on record, according to CoreLogic.
However, the threat of rate rises throughout 2023 failed to have any impact on buyer interest around the Jefferson Lane property, generated throughout a strategic four-week marketing campaign by Troy and his team.
The premium sale was the third achieved by Team Dowker across eight days, with Troy earlier selling 746 Pacific Parade in Currumbin at auction for $10,125,000, setting a record price per square metre along the Currumbin, Tugun and Bilinga beachfront.
He also offloaded an apartment off-market in the exclusive Pacific Palm Beach building at 101/2 Twenty Third Avenue for $6,525,000. The price set a record in the Palm Beach tower.
The trio of beachfront sales add to what have been an extraordinary few weeks of successful transactions by Kollosche agents across the Gold Coast, particularly in the auction arena.
Off the back of record enquiries and high numbers of registered bidders, realestate.com.au showed Kollosche turned out the top five auction results on the Gold Coast in the first week of February, along with the top two largest private treaty sales.
Buyer appetite remains strong, with auction results showing no boundaries among buyers keen to acquire rare-to-market parcels in sought-after addresses.
In Paradise Waters, sales agent Rob Lamb sold a grand north-east facing penthouse apartment in the ‘Atlantis East’ building located at 2 Admiralty Drive. The three-bedroom apartment with city skyline and Main River views was purchased by a local buyer.
In a chain-reaction sale, Rob then introduced the vendor of the Atlantis penthouse to a grand waterfront mansion at 28 Buccaneer Court in Paradise Waters co-listed by Kollosche colleague Carlie Mills and an external agent. The property was purchased for $5,650,000.
If you are thinking of selling your property, reach out to one of our experienced agents who know how to capitalise on the active buyer market.