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Newport home passes in as first home buyer nerves show at auction

The home, with a recently upgraded kitchen, was bought by an upgrading inner-city family. The vendors were downsizing.

The auction began with a “cheeky” low opening bid of $3.7 million, which was topped by a vendor offer of $4.1 million, Jellis Craig Northcote director and auctioneer Sam Rigopoulos said.

Bidding flew from there until $4.75 million, before slowing, with the family outbidding two other buyers to secure the keys.

Rigopoulos said the sale showed the top end of the market was still doing well, especially houses that didn’t need any renovations.

“The vendors are over the moon,” Rigopoulos said. “Particularly after all the conjecture in the media about the market, it’s fair for vendors to be worried.”

On the same street, an investor bought a three-bedroom house at 964 Drummond Street for $2.37 million, well above the $2 million to $2.2 million price guide.

Nelson Alexander Carlton selling agent Charlie Barham wouldn’t comment on the sale price but did say four bidders competed for the home.

“It was a really popular property in the sense that it was a wider than normal frontage,” Barham said. “It was seven meters wide and had a 300-square-metre block, where other homes in the northern suburbs usually have around 150- to 160-square-metre blocks.”

On the other side of the city, a five-bedroom “hoarder’s home” at 14 Chadstone Road, Malvern East sold for $1,945,000, just under the top end of the expected price range of $1.8 million to $1.98 million.

Ray White Oakleigh selling agent and auctioneer Jonathon Eaves said three bidders faced off, with the winning bidder, a young family, planning to rebuild on the block.

“It had a lot of clutter, including newspapers from the 1950s,” Eaves said. “So we targeted the marketing around a new home site or development site.”

In Seaford, a three-bedroom home at 40 Hallifax Street sold for $1.082 million – $97,000 above its reserve.

A young family from Ringwood, bidding over the phone from their holiday in Europe, outbid six other buyers for the home.

Ray White Frankston principal agent Ashley Weston said properties that presented well were selling, while those that needed work weren’t as popular.

“The market is changing, it is a bit fickle,” Weston said. “A- and B-grade properties are flying out the door but C- and D-grade properties are struggling if owners aren’t putting in the effort to sell.”

While first home buyers were silent at the auction in Newport, in Clifton Hill and Abbotsford they bid and bought.

Nelson Alexander Fitzroy director and auctioneer Arch Staver said first-time buyers were not making the big offers they had made last year as interest rate rises had cut the amount they could borrow.

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A two-bedroom home at 211 Spensley Street, Clifton Hill sold to a first home buyer for $1,117,000, while a three-bedroom townhouse at 18/1 Abbott Street, Abbotsford sold for $1.1 million.

“There’s no crazy bidding among first home buyers like there was last year,” Staver said. “They are bidding, but there is definitely a capped price in their mind, so they don’t allow themselves to get carried away.”

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