A semi-detached house with panoramic ocean views that stretch across Bronte sold for $13 million, some $2.5 million above its reserve.
Seven buyers registered on the north-facing three-storey property at 154 Macpherson Street, which had a $9 million price guide. Five bid on the five-bedroom home connected by a common wall to its neighbour. All were families with older children wanting a lifestyle change.
Bidding opened at $10 million in the main living room with $100,000 bids fast soaring above its $10.5 million reserve and then all the way to $13 million, where it sold under the hammer to an inner west buyer.
Alexander Phillips from PPD Real Estate said it was a record price for a semi-detached house in Bronte.
“It is one of the most highly-sought-after positions in Bronte. There’s only been one sale on that strip in 20 years,” Phillips said, noting its north aspect, size and unbeatable views a standout for buyers.
Phillips said the property felt more like a freestanding house because it was a double-width semi.
The value of the deceased estate increased by more than 33 times since it last sold for $375,000 in 1993, records show.
The property was one of 859 scheduled auctions in Sydney at the weekend. By Saturday evening, Domain Group recorded a preliminary auction clearance rate of 67.8 per cent from 518 reported results, while 109 auctions were withdrawn. Withdrawn auctions are counted as unsold properties when calculating the clearance rate.
In St Leonards, a first home buyer renting in the area secured the keys to a two-bedroom unit at 1 Sergeants Lane for $1.29 million.
Seventeen people registered on the neat and tidy unit guided at $1.05 million, which was also the reserve. Many were couples living in the area looking to purchase for their downsizing parents, as well as investors and first home buyers.
Five bid on the north-east facing unit, which opened at $1.05 million. The price went up in $20,000 and $10,000 bids for most of the auction before it slowed down to smaller increments of $5000 down to $1000.
BresicWhitney’s Shabina Kamal said the atmosphere was electric as the crowd of 50 squashed in the living room during the 15-minute auction.
“I haven’t seen that many people interested in a property for a little while. So it was exciting,” Kamal said. “The apartment itself, because it’s so convenient, had beautiful views. It did tick all the boxes, and that’s why it did attract so many buyers,” she said, noting the newly opened metro added buyer confidence in the area.
The unit, which was an investment property, last sold for $555,000 in 2000, records show.
In Enmore, a 1930s inner west art deco duplex on 1 Fotheringham Street was snapped up by an investor for $2.75 million. The reserve was $2.2 million. The two homes on a single title, which had a guide of $2 million to $2.2 million, was billed as a rental opportunity.
Eight buyers registered, and five bid on the classic home with stunning brickwork and elegant cornices. The interest came from mostly families wanting to accommodate multiple generations, or investors.
The auction started at $2 million and rose in $100,000 to $50,000 bids until $2.5 million, when it dropped to $10,000 bids.
Ray White’s Ercan Ersan said the units were receiving rental returns of $780 per unit each week.
“It was really a unique property, which is why it did so well, because you don’t often get two units on the one title,” Ersan said.
“For a lot of people, if they’re looking at buying a house of this size in that area, sometimes they can go closer to $3 million to $3.5 million. So it’s great for … the parents might live downstairs, and then the kids who can’t get into the market will live upstairs,” he said.
The house last sold for $765,500 in 2007, records show.
AMP’s chief economist Dr Shane Oliver said the clearance rate of 67.8 per cent was still soft for August, but not bad overall.
“Listings are up slightly on a year ago. So part of that is just distress selling on the back of high interest rates, and then buyer demand has been somewhat subdued by the high rates as well,” he said.
Oliver said while the RBA is trying to slow down inflation by cooling the market with high interest rates, the economy was moving towards lower interest rates.
“The moves we are seeing in rates, lower term deposit rates, lower fixed rates – you could argue they are more consistent with interest rate cuts ahead eventually, just we think they’re still six months away.”