‘Buyers are still hesitant’: Sparkling new Melbourne mansion attracts just one bid

In Melbourne, a newly-built French Provincial-inspired mansion in the outer eastern suburb of Glen Waverley has passed in at auction for $3.75 million.

It was one of 2510 homes that went to auction in capital cities across the country last week, a reduction from the 2598 auctions held the previous week.

Bidding for the five-bedroom, five-bathroom home at 72 Guinevere Parade, which features opulent finishes throughout, including chevron timber flooring and chandeliers, opened at $3.5 million but attracted just one bidder.

“The bidder is a family looking to buy a brand new home. We are now negotiating with the bidder,” said lead agent Eric Shan from Jellis Craig Monash.

The home last sold in 2022 for $1.3 million.

“The vendors bought the house to knock down and rebuild this one to sell,” he said.

The commanding residence features a home office, theatre room, an opulent, spiral staircase, an upper-level retreat with kitchenette and a palatial master bedroom with a dressing room, spa twin ensuite and Juliet balcony.

Mr Shan said Saturday’s auction result reflected the lack of serious buyers in the current market.

“At the moment it is a little bit quiet. The higher interest rates means a lot of buyers are still hesitant,” he said.

“We are finding that if the vendor’s expectations are realistic properties are selling but buyers are being careful,” he said.

The palatial home was one of 1069 properties that went to auction in Melbourne last week, down from the 1091 auctions held the previous week, according to CoreLogic.

This time last year, 1139 homes went to auction in Melbourne.

Melbourne’s preliminary clearance rate was 69.2 per cent, compared to last week’s preliminary clearance rate of 64.8 per cent, which revised down to 57.6 per cent once finalised.

This time last year the auction clearance rate in Melbourne was 63.3 per cent.

Flipper hotly contested

A wide, Victorian terrace, built in the 1890s and owned by one family for the last 65 years attracted seven active bidders at a hotly-contested auction in Enmore on Saturday.

The home at 18 Edgeware Rd was one of one of 2510 homes that went to auction in capital cities across the country last week, a reduction from the 2598 auctions held the previous week.

Listing agent Shaun Stoker from Ray White Surry Hills said 17 potential buyers registered to bid at the Enmore auction.

“Seven of them were active on the auction floor,” he said.

The auction opened with a bid of $1.2 million, eventually selling for $1.910 million.

Mr Stoker said most of the interest came from buyers looking to flip the property.

“The successful bidders were a family who plan to renovate it and move in. He is a builder. But most of the other bidders were looking to renovate and sell,” he said.

With five bedrooms and two bathrooms, he said buyers were drawn to the potential the two-storey home offered.

“It’s pretty much a blank canvas. It’s also six metres wide, which is wide for the local area. It offers huge potential to create a substantial home for the area,” he said.

Mr Stocker said the property was sold as part of a family estate.

“The lady who owned it was Greek, and she housed a lot of other immigrants when they first arrived in Australia,” he said.

“They would basically come off the ship and it would be the first place they’d stay,” he said.

The home was one of 978 properties that went to auction in Sydney last week, down from the 1018 auctions held the previous week, according to CoreLogic.

At the same time last year 888 homes went to auction in Sydney.

Sydney’s preliminary clearance rate was 70.5 per cent, compared to last week’s preliminary clearance rate of 69 per cent, which revised down to 63 per cent once finalised.

This time last year the auction clearance rate in Sydney was significantly higher at 68.5 per cent.

Brisbane bids over $2 million

In Brisbane, a four-bedroom, three-bathroom home on a sprawling 2041sqm property sold at auction for $2.26 million, with five of the 10 registered bidders pushing the final selling price well over the $2 million mark.

The home at 22 Craigan Crescent, Aspley, 14 kilometres north of the CBD, was one of 227 properties to go under the hammer in Brisbane last week, up from 215 the previous week and compared to 168 at the same time last year, according to CoreLogic.

Lead agent Avi Khan from Ray White AKG said the bidders were attracted to the size and quality of the home, which hadn’t been on the market for more than half a century.

“Blocks of this calibre don’t hit the market often. The owners held the property for over 51 years,” Mr Khan said.

Ray White Queensland chief auctioneer Gavin Croft said the higher end of the market in was showing strong buyer depth.

“The top end, between $2 million and $3 million, is seeing extremely high bidder registration numbers,” Ray White Queensland chief auctioneer Gavin Croft said.

“The top end, between $2 million and $3 million, is seeing extremely high bidder registration numbers,” he said.

“The only thing that will stop a sale is if the vendor expectations are too high. Sellers need to listen to the market feedback in order to make the next step,” Mr Croft said.

The auction clearance rate in Brisbane was 47.6 per cent, the weakest result since the last week of April last year.

Warrnambool cottage doubles

The owners of a weatherboard cottage in Warrnambool on Victoria’s south west coast more than doubled their money in a decade, when they sold their charming home on the weekend.

The home at 109 Davis St was last sold in 2014 for $250,000, records show.

On Saturday, it sold under the hammer for $515,000.

The home, which sits on a large parcel of land, attracted just one bidder.

Lead agent Fergus Torpy from Ray White Warrnambool said the successful bidder was a first-home buyer.

More to come

CoreLogic research director Tim Lawless said even more homes are set to go under the hammer next week, as the spring selling season is in full swing.

“More than 3000 homes are scheduled for auction next week, providing a timely test of the markets’ depth,” he said.