Mascot townhouse sells $176,000 above reserve after it passed in at auction a year ago

A Mascot townhouse that passed in last year because no one showed up at auction has now sold to local investors for $176,000 above reserve after being offered for sale again. 

The four-bedroom property at 11/66-70 Miles Street drew six registered bidders, with an opening offer of $1.05 million kicking off the auction.

It was one of 641 auctions held in Sydney today.

By evening, Domain Group had recorded a 74.9 per cent clearance rate from 430 reported results.

Four parties — all investors — threw their hats into the ring for the 349-square-metre block, raising the price in varying increments.

The hammer fell at $1,326,000, selling $176,000 above reserve. The property last sold for $715,000 in 2013, almost doubling in value in six years.

Ray White Waterloo selling agent Jada Vi said the vendor, who owned it as an investment himself, was very happy with the result. 

“The owner had it previously on the market, also for auction, with a guide of $1.2 million,” Ms Vi said. “But it passed in … because no one turned up.”

A year on, the vendor expected it to sell for less than $1.2 million, according to Ms Vi.

“The market is definitely back. The result speaks for itself,” Ms Vi said. “A year ago [buyers] couldn’t get their funds, there was the banking royal commission, it was all doom and gloom.”

“Since the election, we’ve seen a lot more buyers coming back because there’s a lot more stability.”

The result illustrates the new strength in Sydney’s property market, which recorded its fastest rebound in decades after the steepest downturn since the 1980s. The NSW capital’s median house price jumped 4.8 per cent in just three months in the September quarter, the latest Domain House Price Report found.

Meanwhile, in Double Bay, a live band welcomed a 140-strong crowd that came to watch 9 Court Road go under the hammer.

The four-bedroom house, on the market for the first time in 42 years, had no trouble attracting interest, with 12 registered bidders vying for the keys to the property.

A knock-out opening bid of $4 million from a buyer’s agent saw the 425-square-metre parcel of land on the market from the get-go, wiping out most of the competition.

Four parties battled it out until it sold for $4.4 million to a local family, a whopping $900,000 above reserve.

Sydney Sotheby’s International Realty selling agent Michael Pallier said strong results were surprising everyone at auctions.

“The lack of stock, low interest rates, cashed-up people in the eastern suburbs and the low dollar means lots of people are looking,” Mr Pallier said.

“[Real estate] is what you can put your money into. It’s still the safest,” he said. “No money [is to be made] in the bank, the stockmarket is volatile.”

In Chippendale, four parties registered to bid on a Victorian terrace at 79 Rose Street. 

But it was a two-horse race, with proceedings starting at $1.6 million for the four-bedroom property.

It eventually sold for $1.89 million, with an owner-occupier losing out to a local investor. The property last sold for $1.57 million in 2017.

Phillips Pantzer Donnelley’s Anthony Puntigam said the house is rented out for $1200 a week, yielding strong returns for savvy investors.

“The market has strengthened considerably within a short period,” Mr Puntigam said. “It’s fuelled mainly by the fact the investor would much prefer to have their money in real estate with a three per cent return than see their returns or interest on their money become less and less with bank rates going nowhere or pulling up even further.”