Today we present the seventh in our series of analysis on the selling market for Management and Letting Rights (MLR). We have been collating this data quarterly since June 2017 and the following is a broad summary;
· Stock levels are continuing to slightly decrease from our January 2019 update.
· This has largely been in the holiday space, with permanents increasing.
· The average listing period of all buildings has been 72 days in the last quarter. With an additional 90-100 to complete settlement.
· There is about 0.1x lower multiplier for Standard Agreements over Accommodation Agreements.
There is the full detail and some simple graphs by following the link below. We’ve also provided a summary of the Gold Coast and Brisbane management rights market.
Data provided by The On-Site Manager website.
I am surprised that this summary only brings us to May 2018 when the Summary posted in Resort News brings the data up to May 2019. Is this a ‘date’ misprint?
Also is there any factual or anecdotal evidence anywhere that explains why the sudden and progressive drop in multipliers – from 5.1 down to 4.2 for Permanents in less than 2 years.
Resort News, do people still read that old thing? I didn’t even think they were still around lol. 😉
Apologies that was the incorrect table graphic, I have now applied the correct one. That said, yes, multipliers do appear to have dropped significantly, I supplied the data directly from our database. I would have to guess that tighter lending restrictions would be the driver behind this occurrence.
if all these parameters are true why are management rights on the Nth Sunshine Coast from Maroochydore to Noosaville so hard to sell , average time on the market is anywhere from 24 months to 36 months .
We supply the raw data to FNX who plot it historically. The data is the closest thing we have as an industry to an industry snapshot. We have twice as many Management Rights, a far broader data set and many more brokers the nearest competitor portal. It’s interesting to see the snapshot evolve over time. The snapshot is a national one, however, so it doesn’t take into account regional variances.