By Alexandra Middleton
A first home buyer couple has outbid three buyers, including an investor, to land a renovated terrace in Fitzroy North for $1,931,000 in a rapid-fire auction on Saturday.
Construction blocking the road in front of 36 Church Street didn’t deter four eager parties from bidding on the three-bedroom home.
An investor, who ended up being the underbidder, placed a lowball offer of $1.4 million, well-below the $1.7 million to $1.8 million price guide.
The home was one of 858 scheduled for auction across Melbourne on Saturday. By evening, Domain Group recorded a preliminary auction clearance rate of 62.4 per cent from 700 reported results, while 84 auctions were withdrawn. Withdrawn auctions are counted as unsold properties when calculating the clearance rate.
Nelson Alexander auctioneer Luke Chisholm rejected the offer and instead placed a vendor bid of $1.7 million.
A competitive auction between four parties ensued, with Chisholm accepting bids ranging from $10,000 to $1000. The three-bedroom home was declared on the market at $1.8 million.
Construction work in front of 36 Church St, Fitzroy North, did not deter bidders.Credit: JOE ARMAO
In the end, it came down to two parties: the investor and a parent, who was bidding on behalf of the first home buyer couple, trading $1000 bids back and forth until the underbidder bowed out. The home sold for $131,000 above reserve.
The successful buyers were moving from Melbourne’s south-east to be closer to the city. But they were not at the auction and had one of their parents place bids on their behalf instead.
Nelson Alexander listing agent Roland Paterson said the sellers were upgrading to a larger property.
Renovations to the period home had been carried out by previous owners.
36 Church St, Fitzroy North, sold for $1.931 million at auction on Saturday.Credit: JOE ARMAO
In North Melbourne, a local couple upsizing from an apartment outbid three others to purchase a two-bedroom townhouse for $1,091,000.
Jellis Craig auctioneer Trevor Gange kicked off the auction for 46 Byron Street with a vendor bid of $900,000. The property was listed with a price guide of $900,000 to $950,000.
“Sometimes it’s a bit like a country dance and no one wants to make the first move, so I decided to start it off, and then we had a rise of $10,000,” Gange said.
From there, all four parties began offering up bids of $5000 and $1000, quickly pushing the price above $1 million. Gange said he counted at least 40 $1000 bids throughout the auction.
The ultimate buyers, who were local to North Melbourne and looking to upsize, put forward a final $1000 bid to purchase the townhouse for $141,000 above the $950,000 reserve.
Meanwhile, a Bentleigh East house on the market for the first time in more than five decades sold for $1,415,000.
The three-bedroom property at 9 Elswill Street, which has been owned by the same family since 1967, had a price guide of $1.15 million to $1.25 million.
The auction opened with a bid of $1,175,000 and rose in $20,000 increments between two buyers, a local couple and a Sydney bidder, until the home was declared on the market at $1.3 million.
The successful buyer entered the race at that point. The three parties continued trading $10,000 bids until the property sold under the hammer to the upsizing young couple, from Oakleigh and looking for their forever home.
Woodards Bentleigh listing agent Ryan Counihan said the property’s bathroom and kitchen were updated by the vendors during their long tenure.
“It’s a very patchy market, but we’re finding good family homes, especially between that kind of $1 million to $1.6 million range that are move-in ready,” Counihan said.
“That’s probably the strongest point of the market. Anything that needs work we’re finding can be a little bit a bit more of a struggle.”
In Kew, a buyer moving from Melbourne’s west to be closer to family outbid three others, nabbing 20/11-13 O’Shaughnessy Street for $595,000.
The Agency auctioneer Luke Saville said bidding for the two-bedroom apartment began at the top end of the $540,000 to $570,000 price guide, which knocked several potential bidders out of contention.
“Bidding started really high at the top end of the price range, which is a bit odd, so I think that scared off a couple of the first-time buyers,” Saville said.
A downsizer placed the opening bid of $570,000 – bang on reserve. Two other parties, including the ultimate buyer, offered increments of $10,000 before slowing to $1000 bids.
The successful buyer, a mother of one from the western suburbs, placed a final $1000 bid to purchase the apartment. The underbidder put forward just one offer in the final moments of the auction.
Saville said apartments offered a more affordable price point for buyers looking to break into the affluent Kew market.
The Morning Edition newsletter is our guide to the day’s most important and interesting stories, analysis and insights. Sign up here.