An original, charming beach shack in Mona Vale escaped the wrecking ball when someone whose parents rented it while he was a child saw it listed for sale and bought it at auction for $4.5 million on Saturday.
The three-bedroom cottage at 78 Surfview Road, with bright blue kitchen and sunny verandah, was guided at $4.5 million and drew the interest of another local family and a developer from western Sydney. Both were interested in rebuilding on the coastal site.
The property was one of 845 scheduled to go to auction in Sydney last week. By Saturday evening, Domain recorded a preliminary auction clearance rate of 52 per cent from 501 reported results throughout the week, while 154 auctions were withdrawn. Withdrawn auctions are counted as unsold properties when calculating the clearance rate.
Three parties registered for the weatherboard home with a level yard, stained-glass windows and dual street access. The house last traded for $1.55 million in 2007, records show.
The buyer, who had grown up there, attempted to open the auction at $4.2 million, but his offer was rejected. He increased his offer but was still rejected. Neither of the other two parties made a move. He then offered the guide price of $4.5 million, which officially opened the auction.
The agents negotiated for more before discussing with the vendors, a family of four. While one of the four had hopes of $5 million, their reserve was $4.85 million. They agreed to adjust their reserve, and it sold under the hammer for $4.5 million. There is no legal requirement for a vendor’s reserve to be in line with their property’s price guide.
Selling agent Adrian Hybner from Stone Real Estate Pittwater said the buyers “loved the yesteryear charm and carefree living”.
Hybner said, “A-grade properties are still getting buyers’ attention.” He said he could “see smart money surface and secure properties at a heavily reduced rate based on where the top of the market was”.
The buyer, who declined to give his full name, said he had “huge memories” there. “The day we left, I was extremely upset as that was my dream home.”
In Bronte, an owner-occupier paid $25.2 million for an oceanfront home they will probably knock down and rebuild.
The deceased estate at 522-524 Bronte Road is set on a block of 1028 square metres and attracted four registered bidders, three of whom participated.
Bidding began at $18 million and rose at first in increments of $500,000, followed by $100,000.
The price guide was $25 million and the reserve had been set at the same level, but the vendors were willing to meet the market and the home was called on the market at $21.5 million. In the end, the original price hopes were surpassed.
Sydney Sotheby’s International Realty selling agent James Ball said the location was unique. “You are not going to get many opportunities like that again,” he said.
He said the market was getting better. “There is a bit of momentum and some good sales,” he said. “It is challenging. But there is a pool of buyers that definitely want to buy before the end of the year.”
With Elizabeth Redman
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