6,000 new homes for Melbourne
31 May 2015 by News Desk
Six thousand new homes are to be built in the Melbourne Inner City Area this year.
The rate of construction is three times the annual average for the past decade, despite new figures showing that almost 20% of inner city properties were sold at a loss at the end of last year. 17.3% of resales in the City of Melbourne local government area were loss-makers in last year’s final quarter, according to a survey by CoreLogic RP Data.
The City of Melbourne covers an area of around 36 square kilometres at the heart of Melbourne, encompassing the CBD and a sizeable swathe of surrounding suburbs, including Carlton, Docklands, Jolimont, Kensington, Parkville, Southbank and West Melbourne. It also includes parts of Carlton North, Flemington, North Melbourne, Port Melbourne, South Wharf and South Yarra.
Data shows that short-term property speculators suffered the most losses, generating around $27,000 less from an average sale than they may have expected.
Owners who held on to their properties for at least ten years before selling make the most profit. The average gain of profit-making sales was $152,000.
