Brighton real estate agent lists three-bedroom house in Melbourne sells for $1 million more than asking price
A home in an affluent suburb of Melbourne’s southeast has sold for $1 million more than the asking price, as the extraordinary demand for property continues to grow.
The three-bedroom home in Brighton sold for $5.18 million at auction on Saturday and was one of 808 properties to go under the hammer last week.
In its listing, it said it would appeal to “downsizers, families and developers” with a mid-century feel on a 688sqm block.
“It had potential to renovate, potential to build a new home and investors as well who know there is capital growth and really strong in this area,” Joel Fredman from Fredman Property Group told 7NEWS.
But the new owners want to build their “forever home” and plan to demolish the house to do so.
Experts have said the extraordinary demand is fuelling the market rebound.
“We are seeing incredibly low interest rates, which are allowing buyers to really come into the market at a stronger level,” Antoinette Sagaria from Entourage Financial Service said.
Last week was a big one for auctions across Melbourne with a five-bedroom home on College Parade in Kew selling for $5.4 million, which was $500,000 above its reserve.
An Elwood home on Rothesay Street sold for $4.29 million and $300,000 above its reserve and an Ivanhoe house reached $2.7 million, smashing its reserve by $400,000.
It is estimated one in five Melbourne properties is selling above the reserve price and experts say it is due to record-high buyer demand, not underquoting.