Northern beaches property selling $300k over guide in auction wars
Families who have been waiting for a spring rush of properties are fighting over a lower than expected number of listings pushing up prices hundreds of thousands of dollar over their guide.
On the northern beaches over the weekend 63 properties were offered at auction, 86 per cent of them sold and at least five of them sold for at least $300,000 over their guides.
Dozens of buyers competed for freestanding houses up and down the peninsula in spirited bidding wars often with bids of $100,000 a time.
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Agents observe that many buyers were looking forward to spring and a rush of property to choose from. Trouble is that wave of real estate hasn’t really materialised and the low supply has only increased demand and forced up prices.
A typical example was at 14 Lalchere St, Curl Curl where an original cottage backing onto a park attracted 100 families and eight registered bidders on Saturday.
The guide for the fibro and timber cottage was $2.4 million and it sold for $2.71 million to a family who had been renting in the area waiting for suitable property to come up.
Andrew Roche, of Ray White Freshwater, said the other bidders were local families wanting to secure a home before Christmas.
“We had a very quiet winter with very little stock and everyone is on the hunt for property,” he said.
“We are seeing homeowners selling now achieving well over their guide and selling quickly,” he said.
“Market conditions favour the vendors now,” he said.
Another longheld home, this time in Avalon Beach, sold for a whopping $520,000 over its guide. Number 8 Surfside Ave had a guide of $2.9 million and sold under the hammer for $3.42 million.
The opening bid was $2.8 million and bids jumped at $100,000 increments.
Laura Mears, of Belle Property Avalon, said properties in that spot overlooking the beach didn’t often come up and a couple of the buyers really wanted the house.
In Belrose a five-bedroom house at 16 Dindima Pl sold at auction for $2.3 million, $350,000 higher than its $1.95 million guide.
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Lochlan Macpherson, of Cunninghams Real Estate, said 60 groups inspected the cul-de-sac home and it sold for a great result.
“It all comes down to supply and demand,” he said.
“With interest rates forecast to come down and with stock levels low it will be interesting to see what happens after the October long weekend,” Mr Macpherson said.
“I feel a lot of people may come to market in the New Year and that will then settle the market,” he said.
Another old cottage adjoining a park saw its sale price smash its guide. Number 31 Condover St, North Balgowlah was a two-bedroom cottage on 558sqm of land and a deceased estate. The guide for the 1943 cottage was $1.25 million to $1.375 million and it sold for $1,702,000 — a clear $327,000 over its guide.
Finally a three-bedroom home at 29 Paxton St, Frenchs Forest sold for $300,000 over its original guide at auction on Saturday. There was so much interest in the home the auction date was brought forward by a week and the guide upped to $1.1 million. Eleven people competed at auction and the solid redbrick house sold for $1.35 million.