Customhouse Street villa sale sets new record

The Customhouse villas contain over 30 properties

The recent sale of a Customhouse Street villa has set a new record. Selling for $925,000 at a whopping 42% above its rating valuation of $650,000 the sale has gone against the flow of all previous top end sales in Gisborne in 2010. Located in the inner city waterfront area, the 205 sq.m  two level villa offers impressive views and is one of over 30 villas in the gated community.

While nearly all other top end sales have been below their 2008 rating valuations (refer to the 1st Quarter Sales 2010) the sale of this villa shows that premium properties tend to hold their value, even in tight markets. Since this development was completed in early 2000′s it has recorded consistently strong sales often going against the trend. Each time a property has changed hands, the sale price has drawn a “wow” from those in the market as well as agents working in the market. This latest sale has certainly drawn this response.

However, on the downside, this sale does not necessarily mean that all properties in the development could expect to achieve similar market values. One willing buyer who was prepared to pay a premium does not mean that all buyers will pay the same level. At that price, it may be a while before the next buyer comes along.