Via the ‘Boff today:
Nowhere in Australia are there more danger signals than in inner city apartments. Most of the property commentaries look at average dwelling prices in particular cities, not at specific markets.
Broadly one and two bedroom apartments units sold on a “used” basis are down about 20 per cent in the three main markets — Sydney, Melbourne and Brisbane. Melbourne has a very serious problem in this market because a large number of the apartments have explosive high fire-risk cladding that must be replaced, which will either send builders and other industry players to the wall or will be paid for by owners who are risking their own or their tenants’ personal safety each day. As this becomes understood the value of these apartments will fall by a lot more than 20 per cent.
