A Double Bay woman paid $4,145,000 for a renovated Bondi Beach semi at auction on Saturday, purchasing at a $30,000 discount to the reserve price as Sydney’s auction clearance rate plumbed some of the lowest levels since lockdown.
The three-bedroom Federation home at 120 Wellington Street featured a stylish renovation in a neutral palette, a sunny home office with a leafy outlook, a verdant courtyard and a sleek kitchen.
The property was one of 1013 scheduled to go to auction in Sydney last week. By Saturday evening Domain recorded a preliminary auction clearance rate of 45 per cent from 598 reported results throughout the week, while 233 auctions were withdrawn. Withdrawn auctions are counted as unsold properties when calculating the clearance rate.
It was the equal-lowest preliminary result this year, after reaching 45 per cent the week of October 24 . The last time Sydney’s monthly clearance rate was lower was April 2020, when public auctions were cancelled due to COVID-19. A result below 60 per cent indicates price falls.
Sydneysiders are preparing for a new rule starting November 17 requiring NSW real estate agents to include a selling price or price range on property listings, designed to increase transparency for buyers.
The Bondi Beach home had a price guide of $4 million and drew three registered bidders at auction, of whom two were active.
Bidding began at $3,725,000 and the price rose quickly until the $4 million mark, when proceedings slowed. One of the bidders was making $20,000 bids, the other $5000. The reserve price was $4,175,000.
There is no legal requirement for a vendor’s reserve to be in line with their property’s price guide.
The buyer is a woman moving from Double Bay, the two parties who missed out were both young local couples hoping to upgrade, and the vendors are an upsizing family. Selling agents on the listing were Raine & Horne Double Bay’s Ric Serrao and Kate Woods.
The address last sold for $2.65 million in 2017, records show, and some cosmetic changes had been made since.
Speaking broadly about the market, Serrao had noticed higher attendance at open homes over the past fortnight and thought there were many astute buyers in the market.
“A lot of clients are taking the opportunity at the moment to upgrade. They are selling for a bit less but they are buying less,” he said.
He expected a flat finish in terms of prices for the rest of the calendar year, and thought the impact of recent interest rate rises may not be felt until 2027.
“It does take a few months for that to come through, so we may see that in the new year.”
Elsewhere, in East Ryde, a family paid $2.85 million for a family home with a rumpus room, mineral swimming pool and spa, outdoor dining area and backyard.
The five-bedroom house at 82 Moncrieff Drive had a price guide of $2.65 million and three registered bidders, all of whom participated.
Bidding began at $2.6 million and the price rose in increments of $25,000 at first, followed by offers of $10,000. At $2.81 million the bidders were encouraged to make a stronger bid of $2.85 million to meet the reserve price – which one party did, and the home sold.
A family moving from Chiswick with young adult children won the keys, while the underbidders were an upsizing family. The vendors are downsizing.
CobdenHayson selling agent George Gialouris said the family was drawn to the home for the “wow factor” of its entertaining space.
He thought it offered value as the home next door traded for $3.25 million early last year.
Although his listings have been selling, he noted headwinds for the market such as interest rates and government policy changes. “It [the market] is still quite challenging,” he said.
Auctioneer Edward Riley said the auction went well, all things considered, but noticed some buyers in the market now are hesitant.
“Buyers are definitely cautious about how much they spend. It feels like every bid from buyers at the moment is calculated, and every bid is really considered,” he said.
In Randwick a young couple paid $1,205,000 for an apartment in a block of four.
The bright, light, two-bedroom home at 3/31 Creer Street was a deceased estate and had a price guide and a reserve of $1.1 million.
Six parties registered and four were active, starting with a bid of $1 million and rising fast in largely $20,000 increments.
The Agency selling agent Chris Cantarella texted interested buyers on Thursday to let them know the reserve price and thought the transparency helped with the auction result.
“I just wanted everyone to have equal opportunity to purchase the property,” she said.
“People need to buy and sell in every market, that is not going to stop.”
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