Classic Sydney: Investor beats first home buyers for $1.5m Newtown fixer-upper

We are grateful to have been featured by Domain and the Sydney Morning Herald for our result achieved at Auction last Saturday. This client had to suddenly move to aged care and needed help with clearing out and cleaning up the property. We interviewed 3 agents for her and helped her through the process of selecting an agent, marketing the property and generally kept her informed whilst protecting her best interests throughout the sales campaign. Our help cost her nothing extra and we could not have asked for a better result for such a lovely lady.

“Investors and first home buyers went head-to-head for a Newtown terrace at auction on Saturday, pushing the price for the fixer-upper more than $400,000 above the advertised guide to $1,516,000.

Ten buyers turned out to compete for the narrow two-bedroom home, marketed as a “blank canvas”, with peeling paint throughout and a hallway that passed through the bathroom to access the back of the home.

Bidding for 242 Edgeware Road was quick to start at the $1.1 million guide, but further offers were slow to follow. Eventually bidding increased in $50,000 jumps to $1.35 million, after which it picked up momentum.

Five bidders ended up making offers and the contest came down to a local first home buyer couple and an investor – the last to enter the race – who traded $1000 and $500 bids to the end.

The home sold for $1,516,000 to the investor, who had a family member bidding on his behalf as he was out of Sydney. The written reserve was $1.3 million.

The seller, who has moved into aged care, was over the moon with the result, said her vendor advocate, Kathryn Fantov, director of Innovative Property Advocates.

“It was an amazing result, she’s crying,” Fantov said after calling the owner to share the outcome.

Selling agent Frederico Fraga-Matos, of BresicWhitney, said the home went well above expectations. He originally had a $1.2 million price guide but had lowered it throughout the campaign based on buyer interest.

“The market is still performing really quite well, but I’m surprised we got to this level,” he said, particularly given the recent scrapping of First Home Buyer Choice – which gave first home buyers the option to swap stamp duty for an annual property tax on homes worth up to $1.5 million.

Fraga-Matos attributed strong interest in the home to its location, rear-lane access and parking.

Records show the 164.4-square-metre property last traded for $175,000 in 1997.

BresicWhitney chief executive and auctioneer Thomas McGlynn said Sydney’s auction market was performing strongly, despite a recent uptick in homes for sale and uncertainty around interest rates.

“[This] shows there is still a really great depth of buyers in the marketplace and also shows that property with potential … is still very popular,” he said.

It was one of 526 Sydney homes scheduled for auction on Saturday. By evening, Domain Group recorded a preliminary auction clearance rate of 69.9 per cent from 329 reported results, while 54 auctions were withdrawn. Withdrawn auctions are counted as unsold properties when calculating the clearance rate.

Domain data showed Sydney recorded a clearance rate of 81.7 per cent last month, the first monthly result above 80 per cent since March 2021, as buyers compete for the few homes for sale.


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If you would like to discuss your own situation with us and find out ways you can add immediate value to your property, please feel free to BOOK A CALL with Kathryn.

Not only can we assist you with preparing your property for sale, we take the guesswork out of choosing the agent by providing you with 3 of the best agents in your local area. Our help will cost you nothing extra as we share in the one fee paid to the agent.

To find out more about our Vendor Advocate service and how we can help you achieve the highest price without the stress, visit our website or call us directly on 0411 522233.

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