Unity Jackson-Muir, Real estate reporter
First published 7 Nov 2026, 11:13am
A dilapidated unit in Sydney sold for $420,000 less than the suburb median.
Property values might be falling but keen bargain hunters are heading to the lower end of the market, with a repossessed, derelict Randwick unit selling for almost $420,000 below the suburb median on Saturday.
It’s unclear how the Randwick property fell into disrepair but it formed part of a deceased estate where it’s understood that the former owner owes around $90,000 in strata fees.
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The living room of 1D/12 Bligh Place, Randwick has a considerable mould problem. Picture: Sam Ruttyn
The smell of damp hits you when walking in the front door of apartment 1D at 12 Bligh Place and you’re immediately confronted with rotting carpet, mould and peeling wallpaper.
One dark-stained wooden wall of the living room contrasts against a wall with small pink mirror tiles and another with fragmented wallpaper exposing mould fanning across the area underneath.
The carpet is worn down and stained. Picture: Sam Ruttyn
The carpet is completely worn away in areas with brown, beige and black splotchy stains.
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The kitchen is water damaged. Picture: Sam Ruttyn
Water damage in the kitchen has caused sections of the cabinetry to swell and crack with one of the doors barely hanging on by its remaining hinge.
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The second bedroom has a crack in the wall and different style carpet in one section. Picture: Sam Ruttyn
The multi-coloured carpet continues into the two bedrooms where one has a cracked wall and three squares of a different shaggy-style carpet covering a section of the floor.
The bathroom grout is stained, parts of the walls are moulding and the cabinetry also show signs of damage.
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The upper bathroom wall is moulding and the cabinets are water damaged. Picture: Sam Ruttyn
Falling property prices are prompting anxiety for many homeowners but builders and professional renovators are jumping at the chance to snap up these low cost bargains.
The latest data from SQM Research reveal properties are sitting on the market for longer as Sydney home prices fall for the eighth consecutive month in realestate.com.au figures.
Commonwealth Bank is projecting national property values will drop 14 per cent peak-to-trough by late 2027, the deepest crash in 45 years.
MORE: Home prices plunge to 2021 levels in Sydney
Unit 1D sold for $812,000 on Saturday. Picture: Sam Ruttyn
Apartment 1D went to auction on Saturday with an impressive seven registered bidders and four actively bidding.
Ray White figures from last week found auctions attracted an average of only 1.5 bidders, down from 3.1 this time last year.
Bidding for 1D started at $650,000 and quickly crept past the $725,000 reserve to sell for $812,000. Property records show Randwick’s median unit price is $1.23m.
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The winning bidder owns a luxury construction company. Picture: Sam Ruttyn
The buyers were from luxury construction company, Final Touch Building and plan to renovate the dilapidated two-bedder.
“We are a construction company so it’s good value for us to fix the property and it’s in a good position on a nice block,” the buyers said.
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The apartment will need extensive renovations. Picture: Sam Ruttyn
Sellers agent Angus Gorrie from Ray White Eastern Beaches said most interested buyers were from a construction background.
“We’re really happy with $812,000 in this market given the condition, but obviously people are still comfortable with the market given we had seven registered bidders,” Mr Gorrie said.
On Sydney’s north-side, an Edwardian two-bedroom duplex sold for $1.92m in just five minutes as interest rate rises make cautious buyers more selective.
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An inner-west property attracted 14 registered bidders and sold $400,000 above the reserve in what could be the first signs of a shifting market.
MORE: 14 bidders push home $400k over reserve
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