Downsizers outbid families for $1.5m house that last sold for $288,000
Downsizers triumphed at auction on Saturday after they paid $1,478,000 for a house in Eltham, leaving two families to continue their search for a bigger home.
The four-bedroom home at 24 Mulberry Court sits on a 888-square-metre block across a single level and features multiple living areas throughout the house.
Jellis Craig auctioneer and agent Tom Krutschenko said it was close to the heart of Eltham, which proved popular with potential buyers. He listed the home with a published reserve of $1.24 million.
“We had a really good first open house, so we thought to show transparency we would put the reserve up … It was fair and in line with what we thought the house would sell for,” Krutschenko said. “It probably created a bit more of a competitive environment where people knew the goal post to go for prior to auction.”
The auction began at $1.2 million, but the price fast climbed past the reserve price and $1.3 million with a series of $10,000 bids. It sold soon after for $238,000 more than the vendors’ reserve price.
Krutschenko said both underbidders were looking for a large family home. “We had a lot of families coming through, a bit of a … pretty broad market, really.”
The home last sold in 1997 for $288,000, records show
It was one of 991 auctions scheduled for Saturday. By evening, Domain Group recorded a preliminary auction clearance rate of 63.5 per cent from 702 reported results, while 83 auctions were withdrawn. Withdrawn auctions are counted as unsold properties when calculating the clearance rate.
In Moonee Ponds, two side-by-side properties that had recently been subdivided both sold under the hammer for a total of $2,138,000.
The two homes at 14 and 14A Milfay Avenue were three-bedroom and two-bedroom houses, respectively. Nelson Alexander listing agent and auctioneer Ryan Currie said a previous owner built 14A as a place to store cars and hang out. As a result, 14A did not have a kitchen but had a more striking, industrial style.
Currie listed each property with a quoted price range of $1.2 million to $1.3 million for 14 and $800,000 to $880,000 for 14A.
The house at 14 Milfay sold for $1,291,000 and its reserve was $1.27 million, Currie said. Next door sold for $847,000 and its reserve was $840,000.
Currie said the two properties had been an investment since they last sold as one block 18 years ago, and he had advised the owners to subdivide and sell them separately to achieve a better price.
“It really paid off,” he said.
In Mount Waverley, first home buyers missed out on a unit that sold to locals at auction on Saturday for $770,000, some $100,000 more than the reserve.
The two-bedroom unit at 4/289 Waverley Road was at the rear of a small block, and featured a grassy courtyard and manicured gardens.
Ray White Mount Waverley’s Nicholas Richards listed the home with a quoted price range of $600,000 to $660,000. The home last sold for $636,000 in 2018, records show.
“It’s been slightly updated in the past so not a full renovation,” he said. “There are six units on the block and this one was located at the rear.
“It’s on a main road, [so] it was predominantly first home buyers looking at the property,” he said.
Bidding began at the bottom of the range as the two buyers contested the auction. Richards said the reserve was $650,000.
“That’s where [another unit in the block] had sold, so that’s where it was on the market, but sometimes it’s just decided on the day.”
Richards said first home buyers were the underbidders, but the home sold to locals who planned to live in the home.
“It ended up being a battle,” he said. “It was quite an emotional auction to say the least. Even though I do it so often it’s so emotional for [first home buyers] and everyone gets a bit stressed.”
In East Melbourne, a four-bedroom house passed in with no bids.
The Victorian terrace at 78 Albert Street had an eclectic style, and Belle Property Richmond’s Daniel Atsis listed the home with a quoted price range of $1.6 million to $1.76 million. He said the home could be renovated but was livable.
“It’s a good property, there’s a lot for a single front, and it’s a four-bedder,” he said.
Atsis said the home will be listed for a private sale with a single price at the top of the range.
“[Fully renovated] four-bedders in East Melbourne, you’re paying $4 million to $5 million. An asking price of $1.76 million is very reasonable,” he said.
Low rates and low competition for properties meant buyers would be able to pick properties up for a fair price, Atsis said.
“It’s the weirdest thing at the moment. There’s never going to be a better time to buy, but no one wants to buy.”
The home last sold for $530,000 in 2006, records show.
We recommend
We thought you might like
States
Capital Cities
Capital Cities - Rentals
Popular Areas
Allhomes
More
