Sydney auctions: Downsizer splashes $2.11 million on renovated Neutral Bay townhouse, $110,000 above reserve

With few homes for sale in Sydney in the last days of a quiet winter, some sellers are getting the upper hand.

Top properties are attracting healthy competition and above-reserve results, with one agent saying buyers are now “chasing sellers’ prices” rather than the other way round. 

Nine parties registered to bid on the immaculately renovated townhouse at 5/96 Kurraba Road, Neutral Bay and dozens more crammed into the property to watch it go under the hammer.

It was one of 437 auctions held in Sydney on Saturday.

By evening, Domain Group had recorded a 78.2 per cent clearance rate from 307 reported results.

Bidding opened bang on the price guide of $1.8 million and quickly rose in $50,000 and $25,000 increments as four buyers threw their hat into the ring for the three-bedroom home. 

It soon turned into a two-horse race but stalled for a moment at the $2.1 million mark when auctioneer Peter Matthews attempted to rouse more bids from the competing duo.

“It’s fair to say, based on the stock volumes, it would be hard to find another one [like this],” Mr Matthews said. 

After three more bids, the hammer fell and the home sold for $2.11 million, some $110,000 above reserve.

The successful buyer, who wished to remain unnamed, said she was relieved after selling her property months ago in the hope of downsizing. 

“I’m happy to finally have found something that will be a long-term investment,” she said, adding that she planned to move into it herself. 

“I’ve been looking for quite a number of months now. It’s taken a while for things to come onto the market.”

The Agency North selling agent Shane Slater said the property was in a highly sought-after pocket of Neutral Bay.

“There’s always properties that buck the trend, that are more sought out than others … this is one of them,” Mr Slater said.

He said there were plenty of buyers in the market and not enough stock.

“There are definitely buyers ready and wanting to buy. There’s not enough there so demand is building,” he said. 

The property last sold for $1.35 million in 2014 before its renovation.

In the inner west, a two-bedroom single-level terrace sold for its reserve price of $1,475,000 after four of the seven registered bidders vied for the keys to the property.

Bidding for 63 Evans Street, Rozelle opened at $1.2 million and moved quickly in $25,000 lots. A young family renting in Ultimo were the successful first-home buyers, outbidding other owner-occupiers and an investor.

Cobden & Hayson selling agent Peter Gordon said buyers were back in the market with confidence.

“It feels like it was a 2017 price. I think it was a clear 10 per cent above what we would have seen towards the end of last year,” Mr Gordon said. 

“The only way to get a sale [last year] was to price properties aggressively and meet the buyers.

“There’s fewer properties on the market to choose from [now]  … the buyers are chasing sellers’ prices rather than sellers chasing buyers.”

The property last sold for $955,000 in 2013.

In Summer Hill, a two-bedroom apartment at 8/65-67 Kensington Road drew 10 registered bidders.

The auction opened at $740,000 with six parties pushing up the price on the deceased estate. 

It sold for $793,000, surpassing the $760,000 reserve. 

Ray White Summer Hill director Lisa Polsek said the property was very popular despite needing work done.

“People will see value for money in the older-styled apartments because of all the rubbish in the new ones,” she said. 

“People need to throw a bit of money at that but people will see the value in it more than anything else.”

Ms Polsek said there was an uplift in inquiries for older apartments like these because of the problems plaguing new builds.

“We also saw a lot of people doing building inspections on the unit. You never used to get that at all … nobody did building inspections,” she said.

In western Sydney, an original 1960s house at 10 Yeramba Place, Rydalmere drew a crowd of more than 100 people.

Ten parties registered to bid on the 803-square-metre block. The auction opened at $930,000 and rose during 50 bids placed by just two buyers who vied for the keys.

It sold for $1.05 million, some $210,000 above reserve to a young Chatswood couple who were looking to upgrade.

Ray White Parramatta selling agent Broderick Wright said the tightly held suburb was highly sought after for its proximity to the local school.

He said the land size was a rare, unique offering at a time when stock levels were low, which increased competition on the property.