Albert Park apartment sells for almost $400,000 more than its reserve price at auction
A rare three-bedroom art deco apartment in Melbourne’s Albert Park collected almost $400,000 more than its reserve price at auction on Saturday, shocking the 98-year-old owner and its selling agents who feared that ongoing lockdowns would quench buyer appetite.
Six buyers raised their virtual paddles for the spacious property at 4/35 Dundas Place, with a Shepparton buyer forking out $1.46 million to win the keys in a fast-paced online event that shows there is still a hunger for real estate.
The apartment, which had a reserve of $1.1 million, last changed hands almost three decades ago, with owner-occupiers quick to pounce on the large home in a prime patch of the city, co-selling agent Charlotte Broussard said.
“The owner just couldn’t believe [what it sold for] and just how much competition there was,” Ms Broussard said.
“But it was in a block of four, and there’s not a lot of three-bedroom units in Albert Park … it was also very close to the village … so, we had a lot of inquiry.”
Despite the jaw-dropping result, Ms Broussard said buyer demand would pick up after the latest lockdown lifted – a sentiment that was felt across Melbourne with dozens of homes withdrawn from auction in the lead up to Saturday.
Further north, at 35 Donald Street, Brunswick, a local buyer splashed $1.73 million on a Victorian-esque cottage in need of a renovation after six registered bidders – of which two were active – battled it out online.
Selling agent Joe Ledda of Hockingstuart Preston said the home’s heritage overlay and the prime 624-square-metre block were enough to bring buyers out of the woodwork despite a tough few weeks in the Victorian capital.
“It was supposed to go to auction the week lockdown was called, so we postponed it, and then it got extended … but the interest was big enough to overcome. So, we made a decision, and it paid off,” Mr Ledda said.
“The buyer bought it sight unseen, and they were locals … but only two got to bid, and it went up very quickly. The market is just super strong [right now].”
Mr Ledda said the buyers plan to renovate the old double-fronted, four-bedroom house.
Across Melbourne, just 47 per cent of homes were cleared at auction on Saturday, with 329 sold under the hammer for a median price of $992,500.
In Sydney, the clearance rate was a far stronger 85 per cent, with 283 homes selling from 332 to generate a high median sale price of $1.67 million.
For one eastern Sydney buyer, the weekend of auction action was nothing short of a rollercoaster ride after he failed to win the keys for a property at 26 Orara Road, Allambie Heights – only to virtually front up for another home in the same suburb the following morning where he claimed the winning bid.
Determined not to miss out a second time, the unnamed buyer forked out $3.355 million to secure the five-bedroom house at 27 Normandy Road, Allambie Heights, collecting 1099 square metres of land in the process.
Co-selling agent Gavin Daly of McGrath Manly said ironically, the property at Orara Road fetched almost the same sale price the night before – which was $3.335 million – with both homes earning huge amounts of buyer interest.
“It was a great weekend of sales … but the amount of interest we’re getting right now from the lower north shore and eastern suburbs is out of control,” Mr Daly said.
“I think more and more buyers are hearing about the suburb, and it’s looked at as really good value.
“[No.] 27 Normandy was an older home … and the vendors had been there about 38 years, so it was very emotional. There were a lot of memories, and [the owner] mentioned that he and his neighbours met every Sunday for beers. In fact, at the time [almost 40 years ago], they sold their car to pay for the house and were told back then that they were overspending.”
With the buyer splashing $150,000 over the reserve to beat out five other registered bidders, Mr Daly said it was clear that “risky buy” all those years ago was more than just worth it.
Over in Penshurst, a tidy three-bedroom home opposite a park at 10 McRaes Avenue sold for $2.422 million under the hammer after nine active bidders – from a total of 24 who registered – battled it out online to the reserve-busting result.
Selling agent Fraser Glen of Ray White Georges River said homes in that pocket of the suburb always attracted strong buyer demand, with the cottage’s location ensuring a cracking auction that was ultimately won by a family.
“It’s right up next to Penshurst shops and the train station, only a matter of a few hundred metres. It was a beautiful character home, which had been modernised,” Mr Glen said.
“But the market has been really strong, and everything has been selling above expectation.
“We’re not allowed to hold open homes, so you’d think it would be hard to drum up competition, but we’ve had more one-on-one conversations with the buyers, which has been really beneficial.”
Despite being initially nervous about selling their home online during a lockdown, vendors Kristy and Mark Mottram said they were overwhelmed with the result.
“We were a little apprehensive at first, but we thought ‘there’s not a lot of stock on the market’, so there were some positive aspects,” Mr Mottram said.
In Marrickville, in Sydney’s inner west, a two-bedroom house on a 290-square-metre block of land at 9 Premier Street, fetched a bullish $1.975 million at its online auction, almost $600,000 more than the reserve price, through Cameron Nicholls, of Nicholls & Co Estate Agents.
In Brisbane, 72 per cent of homes were cleared at auction on Saturday for a median sale price of $1.31 million.
Despite the strong numbers, just 41 properties sold in total after many were withdrawn from auction ahead of the day, with some property punters attributing the low figures to a sheer lack of stock.
At 92 Gordon Street, Gordon Park, any sign of a real estate lull was quickly forgotten after a local investor outbid 27 registered buyers, paying a record-setting $2.065 million in the process.
Selling agent Andrew Flanagan of Ray White Ascot said it was the first sale of more than $2 million in the suburb, with the 943-square-metre block helping to seal the record-busting deal.
“The vendors had been there for 30 years [and] it’s a huge, flat, corner block with only one direct neighbour,” Mr Flanagan said.
In Windsor, a quaint blue cottage on a 405-square-metre block at 38 Nicholas Street fetched $800,000 under the hammer, with two neighbours leading the bidding war.
Selling agent Richard Mirosch of LJ Hooker Stafford said while it was a good result for a three-bedroom property, the home’s location in a flood zone knocked about $100,000 off the potential selling price.
“We also had one week in full lockdown, and that was challenging, but we ended up having four registered bidders, and we had about 68 groups through,” Mr Mirosch said.
“It was a good little turnout … but generally, at the moment, we’re getting the reserve price or above at auction. Prices are going up very quickly.
Over at 31 Shakespeare Street, Coorparoo, first-home buyers forked out $1.562 million to win the keys of another three-bedroom character home in front of a crowd of more than 100.
Selling agent Solomon Michael of Coronis-Coorparoo said the “liveable” cottage – on a 607-square-metre parcel – garnered 81 inspections in the lead up to the auction with buyers, of which a large portion was bidding for their first home, enamoured by the character heritage features.
“It goes to show that the first-home buyer pool is no longer [spending] $500,000,” Mr Michael said.
“The vendor had had it for 17 years, and his four daughters put it on the market as dad’s now in a home, and they are absolutely rapt with the result.”
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