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Absolute waterfront houses attracting renewed interest from cashed up buyers

Posted: Wed, 22 Feb 2017 06:59:02 GMT

Original link: http://www.news.com.au/finance/real-estate/adelaide-sa/absolute-waterfront-houses-attracting-renewed-interest-from-cashed-up-buyers/news-story/86d5294d8b6c7dc385e8c1be6bc07020

JUST as astute buyers seek out the worst house in the best street, the rough diamonds on our beachfronts are equally coveted in real estate circles.

According to realestate.com.au, there are several beachfront properties on the market on Adelaide’s coastline offering direct access to the beach with no road in front, and the rarity of these properties make them hot property.

353 Esplanade Henley Beach. Supplied by McCammon Real EstateSource:Supplied

Mick Hodgson has just listed his uncle’s 855sqm property at 353 Esplanade, Henley Beach.

Mr Hodgson said his uncle has owned the property, which is being offered in largely original condition, for more than 50 years and had been asked to sell countless times.

“I lived there in 2005 for a year with him and while I was there, every few months someone would put a card in his letterbox saying ‘if you’re ever thinking of selling, let me know’, and that had been going on for years,” Mr Hodgson said.

353 Esplanade Henley Beach. Supplied by McCammon Real EstateSource:Supplied

“It’s a beautiful spot and he knew what he was doing when he bought it. When he first bought it everybody said ‘why do you want to live out there?’, because at the time he bought it, there was nothing there.”

McCammon Real Estate agent Shannon Smoker, who is selling the home, said it had attracted “oodles of interest”, primarily from people wanting to demolish the house and develop the site.

The property is listed without a price guide, however CoreLogic data reveals neighbouring 351 Esplanade, on a 530sqm block, sold in August for $2.075 million and 355 Esplanade, on a 779sqm block, sold for $1.7 million in 2003. Mrs Smoker said absolute beachfront homes commanded a high price because of their limited availability.

The $2 million view from 353 Esplanade Henley Beach. Supplied by McCammon Real Estate.Source:Supplied

“We have a huge strip of coastline but 99 per cent of those properties will have a road in front of them,” Mrs Smoker said.

“It’s a very elite group of buyers, but those who have the money want something not everybody can have – that’s what it offers.”

Other absolute waterfront properties currently on the market include 139 Esplanade, Tennyson, 437 Esplanade, Grange and 81 Seaview Rd, Tennyson.

Bernard H Booth Real Estate agent Jamie Brown said absolute water frontage in Adelaide’s premium coastal suburbs typically cost about $3000 per square metre, making it exceptional value compared to interstate.

“Some of the waterfront blocks in Queensland go for $10,000 per square metre,” Mr Brown said.

He said Adelaide waterfront property was bought by both downsizers and families and attracted strong interstate interest.

There has also been a cultural shift in the local buyers purchasing them.

“Over the past five years, a lot of people have got a bit tiresome of driving down the south coast to their beach house and are having their beach houses locally,” Mr Brown said.

“With kids’ sport and working late, they’ve got more spontaneity if they can say at 5pm, ‘let’s go down tonight’.

“It’s a nice alternative and it’s a trend that is growing and it’s happened in Sydney as well as Melbourne too, where people have more localised beach houses.”

Some other absolute waterfront properties along Adelaide’s coast:

409 Esplanade, Henley Beach

Under contract

3 bedrooms, 2 bathrooms

A 1910-built villa on a 690sqm block

Sold by Toop&Toop Real Estate

49 and 51 Seaview Rd, Tennyson

49: $1.95 million

3 bedrooms, 2 bathrooms

1931-built bungalow on a 684sqm block

51: $2.15 million

3 bedrooms, 2 bathrooms