Category Archives: SYDNEY

Agents and auctioneers sound warning ahead of big spring homes auction day Sydney

agent with auction flag on shoulder image

Sydney’s real estate agents and auctioneers are calling on vendors to set realistic reserve prices in the lead-up to the biggest auction day so far this spring.

About 1000 homes are expected to go under the hammer this weekend on the first “super” Saturday. But some fear a bloodbath since auction clearance rates have plummeted from near 90 per cent four months ago to 71.3 per cent on Saturday.

“It’s the weakest spring market for three years,” Domain Group senior economist Dr Andrew Wilson said.

“Parts of the city are showing signs of fatigue.”

Auction volumes are up almost 50 per cent this September, with almost 2500 homes going under the hammer so far this month. Auction numbers were also well up over July and August, with 800 auctions most Saturdays – unheard of for winter.

But the high volumes are now taking their toll. The north-west of the city has gone from one of the best-performing regions to one of the weakest. On Saturday, just 54.3 per cent of homes up for auction sold.

Real estate agent Peter Grover of Century 21 Castle Hill says there’s an oversupply of homes coming to the market in his area. “There’s a lot more come on in the last four weeks,” Mr Grover says.

“And a lot of investors are turning away from your traditional 30-year-old dwelling to an off-the-plan purchase – your typical house at $1.2 million is a bit of a stretch for an investor.”

He says banks charging higher interest rates for investors is also starting to discourage many.

“It’s not a catastrophe – if you set a realistic reserve you will probably sell.”

Agents in the Canterbury Bankstown area have also been finding it tough going. The principal of David Kay First National Belmore,  Phil Madirazza, admitted to being a bit nervous about his super Saturday auctions.

“We’ve got three auctions ourselves and they’re all going to be touch and go,” Mr Madirazza said.

“Vendor expectations are too high and they’re just not listening to what the [buyer] feedback is.

​”I think there will be quite a few pass-ins to be honest.”

He said auctions in his area are tough. “There’s been a noticeable change in the amount of registrations and we have to work the floor a bit harder than before.”

Auctioneer Damien Cooley says he has more than 100 auctions scheduled in Sydney on Saturday.

“There’s no doubt that there’s a little bit of panic coming across the industry, with some vendors and some agents,” Mr Cooley said.

“They don’t want to miss the boat but i don’t see any reason to panic, i think the market will continue to grow albeit at a much more calmer pace.

“I’m expecting a clearance rate similar or perhaps slightly down on the week we’ve just had.”

Given the high numbers, he said many agents were trying to sell their properties before the auction. “They’re thinking perhaps we should wrap it up now rather than risk not getting it across the line.”

He, too, said vendors needed to be realistic. “I’ve had cases of where it’s got to $690,000, and the owner wants to hold out for $700,000.

“It’s 10 grand.

“Let’s be realistic as to where the market’s at, let’s listen to what the buyers are saying.

“It’s easy to say that when an owner has seen a recent sale down the road, and they feel their property is better than that.

“A lot of vendors don’t realise that the market is different from even three months ago.”

Many regions are holding up better than others.

“Higher-priced inner and middle suburban areas continue to report reasonably healthy early spring results,” Dr Wilson said.

The city and east recorded the highest clearance rate at the weekend with a strong 84.1 per cent followed by the northern beaches with 82.9 per cent, the inner west 77.9 per cent, the south 76.9 per cent, the lower north 74.2 per cent, the upper north shore 72.7 per cent and Canterbury Bankstown 70 per cent. The west had a clearance rate of just 50 per cent. (8)

Henry Sapiecha

Point Piper Sydney Harbour Views Australia apartment sells $1 million above set reserve

sydney harbour view images

$1 million over reserve

gavel images (3)

Buyers go to battle for a dated apartment on Australia’s most expensive street.

The auction of a Point Piper apartment stunned onlookers on Saturday, when it sold for $1 million over its reserve price.

The three-bedroom apartment at 9/45 Wolseley Road sold for $4.1 million.

It was one of 853 auctions scheduled to go under the hammer in Sydney on Saturday. Domain had collected 657 results by Saturday evening and put the clearance rate at 87.4 per cent, up on last week’s 84.2 per cent.

sydney harbour penthouse interior with view image

This unit at 9/45 Wolseley Road sold for $4.1 million on Saturday – $1 million over reserve.

Despite its position on Australia’s most expensive street, sales agent Stephen McMorrow of McGrath Edgecliff was stumped by the result.

“Last year, [an apartment on] level five sold for $2.95 million, and this one also has a lot of work to be done on it to make it modern,” he said.

“It just goes to show, you can’t put a price on a view like this.”

auction bidding on sydney harbour view penthouse image

Bidding for the three-bedroom apartment was rapid-fire. Photo: Christopher Pearce

Five of the 10 registered bidders were active on the day, with rapid-fire bids of $50,000.

The winning bidder was a local buyer who declined to discuss his plans for the home.

The whole-floor residence has panoramic views over the harbour, with the city skyline, bridge and opera house in full view.

sydney penthouse harbour view pic

An agent said the apartment needs a lot of work to be done on it to make it modern.

Throughout the campaign, interest was solely from owner-occupiers, including parties from Brisbane, Melbourne, Sydney and Singapore.

Auctioneer Scott Kennedy Green said the area is tightly-held and attributed the high level of interest to the blue ribbon address.

“Top quality real estate like this won’t decrease in value, and it is going to attract the kind of competitive bidding we saw today.”

The home last traded in 1968, after it was bought off the plan for $93,750 by Veronica and Arthur Laundy, the founder of the Laundy Hotel Group. “Aussie” John Symond’s $50 million compound is within shouting distance.

Long-time neighbour Vivien Jackson was at the auction to gauge what her home might be worth.

“I wanted to see what this went for today, because with prices at the moment, it could be anything.”

According to Domain Group figures, the median price of Point Piper units has grown 21.3 per cent in the past six months to $1,657,500.

Domain Group economist Dr Andrew Wilson said the Point Piper median was volatile due to the low number of sales.

“Point Piper is an iconic suburb, recognised for ultra-prestige, there is not a lot of turnover, not just because of stratospheric prices, but it is geographically a small suburb,” he said.

“That market was down since the GFC, but volumes have picked up recently, and homes will always find a buyer there.”

In the past year there have been eight house sales in Point Piper at $28 million or more.


Henry Sapiecha