Rare acreage listing snares $3.5 million result

Melton, with a median price of $474,000 for houses and $371,500 for units over the last year, has been a popular suburb for first-home buyers and upgraders.

“The long-term outlook is bright, with more infrastructure, new shops, more activity and plenty of homes being built,” Barry Plant Melton partner Ned Nikolic said.

“While other suburbs are seeing less investor activity, Melton is getting plenty of local investors and now even from interstate.”

The attraction for investors included the affordability of properties, strong rental returns, relatively younger homes and capital appreciation prospects, Mr Nikolic added.

The agency listed 20-25 properties a month and there was a steady turnover of properties, especially those that were reasonably priced and well-presented, which attracted recent migrants, upgraders and investors.

“Many of the sellers are those who are upgrading within the suburb and who are selling their first homes,” Mr Nikolic said.

“We also see buyers upgrading from suburbs closer to the city, because they get more for the money in Melton … spacious homes on larger blocks.”

He also noted that while most homeowners held on to their properties for an average of seven years, in Melton the turnover was quicker at an average of three to five years.

“Melton is constantly growing outwards with surrounding land being subdivided for housing,” he said.

Since the start of the year, Melton listings continued to attract steady inspection numbers, with popular listings getting two to three offers.

One strong sale with four interested buyers was 57 Childs Street, Melton South, that fetched $490,000 or above its price guide. The property was sold to a first-home buyer.

Meanwhile, a rare listing of a large acreage at 178-202 Highett Road, Melton, changed hands quickly, compared with the long periods such listings can stay unsold, Barry Plant Melton agent Cory Cassar said.

It took just 30 days to sell the 12.1ha block located in a green wedge zone for $3.5 million. The same family had held it for four decades. It previously transacted for just $58,000 in 1983.

“Such listings usually take a long time to sell because of the zoning and unrealistic price expectations of vendors,” Mr Cassar said.

“In this case, the price guide of $3.5-$3.8 million was realistic, and we had quite a bit of interest in the property that has two frontages.”

He noted that such landholdings could only be developed if the growth boundary was shifted and the land rezoned for residential development.

“This is what many landowners and buyers are hoping for, as they are mostly land banking for the future,” Mr Cassar said.