The media loves reporting on record sales.
And, let’s face it, the reason the media loves reporting on them so much is because we all love reading about them.
But when a waterside mansion or a luxury penthouse sells for millions of dollars, does it really matter for you at all if you’re not also selling an exclusive, premium property?
When records get broken
You’ve probably noticed that city-wide property price records don’t get broken that often. Unlike other sections of the market, it’s not as though there are usually 20 strong prestige sales in quick succession that keep pushing prices higher. In fact, Sydney’s most expensive property, Fairwater, in Point Piper, sold in 2018 – some four years ago now, and well before the extraordinary property boom of the past couple of years.
The main reason for the time lapse between city-wide records is that there simply aren’t many properties – or many buyers – in this part of the market.
There also simply aren’t the same factors driving the money – like availability of credit. Buyers here tend to be more driven by the health of their businesses, the stock market and the economy more generally. They’re not usually concerned with interest rate movements, cost of living pressures and the other factors that determine the health of the wider property market.
But what’s in it for you?
Even if you’re not in the market for one of Sydney’s grandest waterside homes, I believe sales records have their place, particularly when setting and resetting expectations. But there are many different kinds of record sales.
Here in Darling Point, building records and street records often do impact nearby property owners. So too do records concerning particular types of properties – such as two-bedroom apartments facing east towards the heads or three-bedroom apartments without a view.
That’s because, when a record like this is achieved, it resets the market’s expectations about a home’s value or the price of apartments throughout a building. Buyers now have a benchmark to compare other properties against – and that benchmark has just been pushed higher.
If you’re selling your home, they’ll be considering that sale and looking at how your property differs – and this means they will also often adjust the amount they’re prepared to pay.
Choosing a real estate agent based on suburb records
Real estate agents love to publicise their records as a way of showing their abilities – and I think they do contribute to some extent. But, if you’re looking for a real estate agent to sell your home, it’s just as important that they can also demonstrate a breadth of sales, including properties just like yours.
This is often better proof that they understand your target audiences and can help you maximise your sale price than a once-off sale.
And, if you are looking at records, it’s most important that you ‘compare apples with apples’ – by looking at records within your own building, street or neighbourhood, or for properties with the same characteristics. Treat the ultra-premium sales, which usually have a truly unique selling point, as interesting reading rather than as a guide for what your own home will sell for.
Some recent sales
Below are some recent sales, which include building records. The number of suburb records below shows the rising demand for the finite supply of properties. We have also witnessed buyers coming into Darling Point with deeper pockets than they may have had in previous markets, having sold the family home, or a successful business.
- 4A/21 Thornton Street set a record in late 2021 for a three-bedroom, two-bathroom, apartment with double parking in this building, when it sold for $7,645,000.
- 12C/21 Thornton St Darling Point: 3 bedrooms, 2 bathrooms, 2 parking selling for $7,400,000
- 24/60 Darling Point Road: This spectacular three-bedroom, two-bathroom apartment was a deceased estate. It sold at auction for $5,253,000.
- In 2020 we set a new benchmark for 3 bedroom, 2 bathroom, 2 parking strata apartments with spectacular views when 13/75 Darling Point Road, in President Towers, sold at auction for $7,105,000. The next best price was $5,250,000.
Some other suburb records
There have also been several key suburb records recently, including:
- 3 Lindsay Ave, Darling Point: This six-bedroom waterfront residence sold after being on the market for years for a reported $67,000,000.
- 1/47 New Beach Road, Darling Point: This ground floor, three-bedroom water’s edge apartment sold at private auction for $10,850,000 after selling for $8,450,000 in November 2020.
- In 2020, the penthouse of “Santina”, a waterfront company title building at 85 Yarranabbe Road, Darling Point, also sold for over $10,350,000 resetting expectations for these types of apartments.
- We’ve also seen records broken in “Yarranabbe Gardens”, a waterfront company title building at 87-97 Yarranabbe Road, Darling Point, with an unrenovated double apartment reportedly achieving a sale price well over $10 million.
If you’d like to know more about our local property market in Darling Point, or if you need help buying or selling a home, get in touch.