First-time home buyer forced to bid against himself and add another $20,000 to mortgage in latest sign the real estate market has gone haywire
- First-time homebuyer bid against himself to secure a one-bedroom loft in Surry Hills
- The agent negotiated a middle ground for the seller and the buyer after Saturday’s low offers
- Young man offered $20,000 against himself to insure property for $770,000
- A similar situation occurred for a three-bedroom apartment in Darlinghurst
A first-time homebuyer was forced to bid against himself for $20,000 to secure a one-bedroom apartment in a trendy Sydney suburb.
The New York-style loft at 10/15-27 Hutchinson Street in Surry Hills had a guide price between $700,000 and $750,000, with four registered bidders attending the auction on Saturday.
Only three offers caused the offer to stop at $750,000, well below the $800,000 reserve.
The young man then increased his offer by $20,000 to $770,000 after a discussion with the agent, who agreed to the sale if he increased his offer.
A first time homebuyer made an offer against himself for $20k to secure a loft in Sydney’s Surry Hills
The New York-style loft at 10/15 27 Hutchinson Street in Surry Hills had a guide price between $700,000 and $750,000
The property boasts 4.3 meter high ceilings to accommodate the loft bedroom, with raw exposed materials giving the apartment a unique look.
It has a terrace for entertaining and direct access to a shared garden overlooking the apartment.
It is one of several stunning homes within De La Vega’s E-Space warehouse conversion in the heart of Surry Hills.
Ray White’s Ercan Ersan negotiated a middle ground for the buyer and seller to close the deal.
The single property agent negotiated a middle ground for the seller and the buyer.
The one-bedroom loft is one of several stunning homes within the converted warehouse
“I let him know the reserve was $800,000 and he could pay up to $770,000 and he accepted it,” Ersan told Domain.
‘If someone isn’t realistic or prepared to satisfy the market, they probably won’t be selling.
‘The one bedroom, one bathroom, no parking is the hardest value to sell. It is driven by first time home buyers and investors. They are the two most sensitive buyer profiles at the moment due to loans and interest rates.’
The apartment has an entertaining terrace and direct access to a shared garden.
Another auction in nearby Darlinghurst saw a similar situation, with a couple bidding against each other and raising their bid from $2.605 million to $2.7 million to reach half of the sellers.
The owners of the three-bedroom apartment on Liverpool Street reduced the $2.8 million reserve to complete the sale to an inner-west couple looking to downsize.
“The sellers were realistic, he bought it last year for $2.4 million and he wanted to sell it today, so he knew the market,” BresicWhitney Darlinghurst broker Guido Scatizzi said.
“We actually did well, in a declining market. We got $300,000 more than what was sold last year.’
Surry Hills, a sought-after inner-east suburb of Sydney, has seen its median unit price fall by one per cent in the last financial year, to $950,000.
The average unit price for Darlinghurst is still around $1.1 million.