At auctions in September, buyers are increasingly seeing properties sell at or above their reserve, with one property exceeding the reserve by $500,000.
A four-bedroom, two-bathroom detached house at 25 School Parade, Marrickville, attracted strong interest at the weekend auction, with more than 100 buyers interested in the property.
A fully restored split-level home that has been in the same family for over two decades was expecting 3-5 bidders and was set to defy today’s market odds.
Auctioned through Menck White auctioneer Clarence White and listed through agents Adrian William Adrian Tsavalas and Josh Vella, the property fetched $2.75 million.
A crowd of 50 watched as 4 registered bidders battled for the Federation home, which eventually sold to a local buyer for $3.26 million.
Mr White said both sellers and buyers had regained confidence in the market and were more willing to pay a higher price for a premium home.
“I’m optimistic about the rest of the spring in the coming weeks if today’s auction is any indication of where things are going,” Mr White said.
“I think buyers have come to terms with rising rates and are seeing the value of modern homes in the market and are more willing to pay higher prices as a result.”
Mr Tsavalas also agreed that market conditions had changed somewhat, telling The Daily Telegraph that the initial shock of rising interest rates had worn off.
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“Now we are in a better position than three months ago. People still remember the rise in interest rates, but I think the conditions we’re seeing today are similar to what we saw in the boom years of 2015-2016.”
“After all, the spring sales season wasn’t as terrible as predicted.”
As the weather has warmed, the speed of auctions has also increased – the latest numbers of buyers at auctions over the past few weeks indicate that the market is stabilizing.
The increase in rates in August did not affect the market negatively, most likely, compared to July, the sales results increased.
All active bidders at the Marrickville auction were looking to increase size and hailed from the Inner West.
Features of the property with an area of 588 square meters.
The location was a major selling point for the property, minutes from Dulwich Hill Railway, light rail and buses in addition to Marrickville Village and the Cooks River.