Does that View from an Apartment Really Matter?
We all know that a good view matters. There’s something distinctly pleasant about sharing Friday afternoon drinks with friends on a great balcony.
And even if that’s not your thing, who wouldn’t like to say that one of the world’s most revered attractions can be seen from their own living room? As far as staples of luxury go, pristine views are certainly up there with the most important.
But at the end of the day, the quality of your actual home matters far more, right? Surely no view could justify subpar conditions…
Subpar apartment, stunning view
If a recent real estate purchase made in Sydney is anything to go by, that assessment is dead wrong.
A unit that’s been completely stripped of all fixtures, flooring and just about anything you can name has sold for $820,000.
The reason? Unobstructed views of the Opera House and Harbour Bridge.
The unit, located at 11/3-5 St Neot Avenue in Potts Point, last sold in 2011 for $530,000. Funnily enough, it was a one-bedroom apartment then.
The unit was marketed to the public as a renovator’s dream. With exposed walls, exposed floors and wide open spaces, the only thing the unit had going for it upon sale was potential.
Sales like this can be a bit puzzling to prospective homeowners and home sellers. How and why did a unit sell for $290,000 more as a pile of bricks than it did as a one-bedroom apartment?
And more importantly, how can you capitalise on similar phenomena?
There are a myriad of good answers to these questions and entire professions built on helping people achieve similar results, but as a starting point, it’s vital that you pay attention to what homeowners are paying for.
Maybe you could’ve guessed that such a unit would sell for the amount it did. Maybe you couldn’t have. Either way, keeping track of where people are buying, what they’re buying and why they’re buying will make you a better equipped investor.
At Mortgage House, we’re no strangers to the homeowner’s journey. It’s a long (but rewarding) one.
But don’t worry, we can help with that.
If you’re thinking of buying a home, you can contact us for advice about the best options for you when it comes to your mortgage. The cost of your mortgage can drastically affect your financial planning, so it pays to speak to the experts about it.