Source : the age
An updated single-fronted Victorian home in Footscray sold for $817,500 in post-auction negotiations on Saturday, after passing in on a single genuine bid.
A short walk from Barkly Street, Footscray station and Footscray Market, 26 Fitzroy Street features a stylishly renovated interior, with new bathroom and kitchen, while maintaining a classic Victorian weatherboard front and paved rear courtyard.
The two-bedroom property had a price guide of $800,000 to $825,000, which Loutakis agent and auctioneer Michael Loutakis said had been revised up from $700,000 to $770,000 after considerable interest early in the campaign. It had a reserve of $835,000.
There is no legal requirement for a vendor’s reserve to be in line with their property’s price guide.
Loutakis opened bidding at $800,000, and a young couple made the first and only bid before the property passed in and sold to them in negotiations.
Loutakis said there was “a bit of emotion” when the vendors and buyers met post-auction, as the vendors had bought the house as their first home and were handing it over to a young couple who were after their first home.
There was another interested party who chose to hold off doing any due diligence – like building or pest inspections – before the auction, Loutakis said, in the hope the property would pass in, and they could make a conditional offer after the fact.
“We’re seeing it a lot,” the agent said. “People are not willing to spend money … but we went into the auction knowing that. The people who bought it made it happen.”
The property was one of 696 scheduled to go to auction in Melbourne this week.
In Kensington, a contemporary townhouse sold for $943,000 after it was nudged $3000 over its reserve by two competitive bidders.
The red brick and render home at 38 Cornish Lane features three bedrooms, and an open living and dining area split over two levels, with an additional large attic space and rear courtyard. It had a price guide of $900,000 to $950,000, and a reserve of $940,000.
Nelson Alexander Flemington agent and auctioneer Jayson Watts said bidding opened at $900,000. From there, two active bidders pushed the price up in quick increments until it hit $940,000, at which point Watts went inside to consult the vendors to make sure the property was on the market. He returned to the street to get an “extra $3000” before it sold.
Watts said the buyers were a young couple moving into the area, and the vendors were moving “around the corner” to a larger home as they wanted to stay in the area.
“There’s a lot of ego about what people think their home is worth,” Watts said. “But vendors who understand there’s been a correction in the marketplace and price accordingly are having comfortable campaigns, and selling well.”
