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Breaking News: Portsea Mansion Ilyuka Sells For $27M AUD

December 14th, 2010

Well that was fast! It was just short of a month ago that I posted about the Portsea Mansion Ilyuka near Melbourne, AU that just came on the market for $20M AUD and the listing agents had spent $200,000 on a marketing campaign directed a millionaires around the world which included a 5 minute video promoting the home.

The article in the Hearld Sun reports that the property sold for $27M AUD and several foreign buyers were initially in the running for the house but in the end two serious parties were caught in a competition for the property.

It appears that the $200,000 marketing campaign worked. Certainly Ross Savas of Kay & Burton (the listing agent) is giving high-fives all around the office. Apparently this is the most any buyer has paid for a property in state of Victoria.

It’s hard to say what part the property video that we all trash-talked either played or didn’t play in the sale. Perhaps it shows that it doesn’t take a master piece of video production to get the job done. Or perhaps it just shows that we don’t have a clue! Obviously Ross knows what works! Congratulations mate!

Thanks to DAZ at kidsklix.com.au for passing along this news.

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8 Responses to “Breaking News: Portsea Mansion Ilyuka Sells For $27M AUD”

  • The silence is deafening…..I agree that the video and stills were not what would be expected, but I think the point to draw from this is that houses in the extreme parts of the market (both high, and low) are NOT sold via the usual channels. I doubt seriously that the buyers “found” this house while surfing through property websites in their slippers at home one night. Over-the-top marketing like this serves to stroke the ego of the seller, and pad the portfolio of the selling agent. But the “real” marketing is done via networking, and is often well under way long before the property is officially on the market.

  • I’m not impressed with the real estate agent selling the home in quick time frame. What I’m really impressed with is the 7M over asking price that he was able to obtain for his client. He will be in high demand in the super luxury market. Think about. Someone paid 35% over asking price. That’s insane @ any price range.

    I know this has nothing to do with the transaction but could you imagine how much his commission check was at the close of the sale. I don’t know what the AU’s charge but if he was paid 6% on a $27M sale, that’s little bit over to $1.6M. He would be left with $405,000 If his cut was 25% for representing the seller and after his split with his company. If you subtract the $200,000 he spent on the mini movie he’s left $205,000. Not bad for 6 months of work.

  • @ Abraham Walker.

    Pic on your website is a bit average mate.There are lots of good Photographers out there who can help

  • @Carlos – Thanks. It should be changed by the end of the year. Just something to get by with until “I” take the right picture. I will be sure to update this post as soon as its ready.

    One more thing Carlos, I see that you are from Australia (Get Clicky web analytic) and wonder if you knew what the commission structure is in Australia? In the US, commission can range from 4% – 6%. Any information would be much appreciated.

  • commission on this would be anywhere from 1.6 to 2.8%, and Ross has been in demand at high end sales, for a long time.

  • @Abraham
    Josh is right.

    story on the Mansion, we dont have the full story.

    http://smh.domain.com.au/record-breakers/mansion-fetches-a-pretty-penny-20101214-18wt3.html

  • Thanks Josh and Carlos.

    It’s good to see an agent put his money where his mouth is. To invest such a significant in amount of money on one listing shows that the agent is confident in his skills. It’s almost like watching a professional gambler. We think he’s up against impossible odds but he’s already calculated his winnings.

  • Quick update – Mebourne businessman Ross Higgins named as the buyer. No surprise it went to someone from the Melbourne elite and there is no reason to think the video had any part in what he paid for the property. Capacity to pay and ego are the two most important factors a play here. I also seriously doubt that the vendors would have sold for $20M – what’s the old real adage – quote it high watch it die, quote it low watch it go.

    Abraham – almost all real estate sold in Australia is on a sole agency basis and you charge the client for absolutely everything (except where you up your commission to cover the costs). There are perhaps only two agents (companies) that you would seriously consider for that type of property in Melbourne. Ross would have to know that it’s a 95% chance that it would be a Melbourne buyer and his job is to work the networks/contacts to get the buyer. How he managed to convince the vendor about such an expensive marketing campaign now that’s pure genius.

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