A vendor was left mystified as his Box Hill North property sold for $350,000 above his already increased reserve.
The four-bedroom house on just 290sq m at 23 Willow St fetched $1.35 million at auction on the weekend, after overwhelming buyer interest caused the price guide to be raised from $820,000-$890,000 to $1-$1.05 million.
Lindellas Box Hill director Dennis Dellas said he’d never seen so many people inspect a property before and during an auction.
“The property’s had 550 to 600 people come through it in 27 days,” Mr Dellas said.
“The owner turned around and said, ‘why, what are they seeing?’
“It’s $350,000 above the second reserve that was set, which was beyond (initial) expectations by $150,000.
“It’s not in the Box Hill High School zone, it was well built in 1998 but hasn’t been updated.”
Mr Dellas said the huge result, which saw bidding by five groups of owner-occupiers, was evidence the market was “out of control again.”
“Unfortunately, I think first-home buyers or buyers who’ve studied the form guide for too long have missed the boat once again. It can’t keep on – there’s a point where it’s got to stop,” he said.
He said younger buyers were being priced out by investors and buyers with access to money from overseas.
Neighbouring 17 Willow St sold for $1.345 million just half an hour beforehand. That property had more than double the land size, at 730sq m.
Asked why the properties had similar prices despite the contrast in size, Mr Dellas said: “I should know why, I don’t know.
“The bottom of the market was the first quarter of this year and it took 18 months to get there. By the end of this year, it’ll make up all that ground.”
Two lots at 15 Wembley Gardens, Donvale, smashed their reserve under the hammer on the same day, October 26, after being in the same family since 1970.
The main residence at Lot 1 sold for $2.01 million, well above the $1.6-$1.7 million price range. Lot 2, containing a tennis court and gardens, sold for $1.365 million, $165,000 above reserve.
Fletchers Manningham agent Jeremy Desmier said stock levels had picked up in recent months, but were still lagging behind previous years.
Meanwhile, a bidding “frenzy” in Mont Albert North had hands flying up in the air too fast for the auctioneer to keep track.
Ray White Balwyn agent Bronwyn Lucas said 140 people attended the auction of 14/601 Elgar Rd, with the weather clearing just in time to hold the auction outside.
The unit sold for $860,000, well above its $650,000-$690,000 price guide.
“People were drawn to the dual-entry way, easy access to Box Hill as well as Westfield Doncaster,” Ms Lucas said.
“Plus three-bedroom apartments are not usual, so that was a further attraction.
“People were yelling over each other for their next bid, it was like the old days.”