A first-home buyer couple from Sydney’s lower north shore have paid $1.803 million for a tri-level home in Alexandria, securing the three-bedroom property at auction on Saturday.
Bidding for the house in Gerard Street opened at $1.55 million, below its $1.6 million guide. Auctioneer Damien Cooley accepted rapid $10,000 increases until the price reached $1.8 million, when the bids reduced to $1,000 increments.
The hammer eventually fell at $1.803 million, above the property’s $1.75 million reserve. There is no legal requirement for a vendor’s reserve to match the advertised price guide.
Brad Gillespie, a sales agent with The Agency, had expected four groups to bid after receiving requests for changes to the contract. Two withdrew shortly before the auction, with one citing an unspecified issue and the other financial concerns.
“We all know it’s a buyers’ market and vendors know that as well,” Mr Gillespie said. “If it’s a property they really like, [buyers] should be going for it.”
He said the confident bidding and result above reserve pointed to growing confidence at the upper end of the market. The vendors are planning to upsize.
The open-plan kitchen, living and dining area on the ground floor opens on to a small garden. The property was among 671 homes scheduled for auction in Sydney this week.
Buyer activity at Randwick auction
In Randwick, a family intending to renovate and resell a two-bedroom apartment paid $812,000 at auction.
The unit, which includes a balcony and parking space, was being sold by a mortgagee following a deceased estate. It had a guide of $750,000 and a reserve of $725,000.
Seven parties registered to bid, with four taking part. Bidding began at $650,000, rose with a $50,000 offer and then moved in $10,000 steps before falling to $1,000 increments at $800,000.
Angus Gorrie, of Ray White Eastern Beaches, said the apartment’s price had attracted interest despite the work required. He estimated renovations would cost at least $150,000.
“[The successful bidders] knew what they were getting themselves into,” Mr Gorrie said. “A lot of people walked away.”
