Sydney auction: Mt Druitt’s outdated fiber house sold for nearly US$2 million after frantic bidding

An obsolete fiber house in Mount Druitt was sold through an online auction for $1.92 million, the highest price for a residential property in a suburb of Western Sydney.

The 1150 square meter property was auctioned at Devon Street Attracted 32 registered bidders, the price was $520,000 higher than the owner’s reserve price.

This is the first transaction in a pristine state house in decades, and the price is nearly $600,000 higher than the highest price paid for the Mount Druitt site in May.

more: The seller’s trick earned an extra $200,000 at the auction

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Sid Elias, the sales agent of LJ Hooker-Colyton/St Clair, said that the house was initially expected to have similar results to the house sold in May, which had roughly the same land allocation.

Mr. Elias said that the May sales were also the basis for the reserve price, but competition from multiple parties was higher than expected.

This is the first time a house in Druid Mountain has been listed for sale in decades.

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“A lot of people want it,” he said. “It is located in a corner block with R2 partition, and the developers know that anything they build on the site will currently be resold at a high price.”

Mr. Elias said that Mount Druid and the nearby St. Marys suburb are “hot” markets because of gentrification projects and planned infrastructure, such as linking the latter to the upcoming Badgeris Creek Airport Connected train lines.

“These projects excite a lot of people,” Mr. Elias said. “We have also attracted a large number of foreign buyers, especially buyers from Parramatta and Canterbury-Bankstown.

“They set prices in their area and then see how much they can buy in Mount Druitt, so they are interested.”

Mr. Elias said that most of the registered bidders for the Derwent Street House wanted to replace the original house with something new, including buyers who were considering how to deal with the land.

“Online auctions may help,” he said. “Online auctions have many benefits. You don’t have to leave home and no one knows who you are… We have some relatives bidding against each other without knowing it.”

Jerome Smith, an auctioneer at Above the Reserve Auction Services, received an opening price of $1.17 million and stated that the bidding was “very fast”.

“Bids are skyrocketing,” he said. “The bidder showed a clear intention.”

Mr. Smith added that the area is developing. “Many people think that Druid Hill is Struggle Street, but in fact it has become one of Sydney’s most sought-after areas because of its higher value,” he said.

The Derwent St property is one of nearly 600 properties that were auctioned off last week. CoreLogic data shows that 74% have been sold-most of them were traded before the auction. Nearly 120 properties were withdrawn from auction, and only 15 passed.