Downsizer beats Sydney bidder to buy Fitzroy North terrace for $1,572,000

A three-bedroom art deco house in a quiet pocket of Fitzroy North sold for $1,572,000 at auction on Saturday, with a downsizer paying $72,000 above reserve.

Behind 15 King Street ’s original facade, the home had been renovated to feature polished floorboards, light-filled rooms and large windows looking onto a small paved courtyard. It had a price guide of $1.4 million to $1.5 million, and a reserve of $1.5 million.

Jellis Craig agent and auctioneer David Sanguinedo said he opened the auction with a vendor bid of $1.4 million, which was quickly countered with a bid from the downsizer of $1.41 million.

From there it jumped up in $20,000 and $10,000 increments – the downsizer competing with one other bidder, who was from Sydney – before trickling down to smaller bids to bring it to a close.

“They had their kids there, they outgrew it, and they wanted to stay in the neighbourhood because they love it so much,” he said.

Sanguinedo thought the end of winter would see more competition for properties, with less supply coming online than in a typical spring, and many buyers still looking in an increasingly tight market.

“We have more buyers than we have stock, so I think it’s evening out,” he said.

The property was one of 647 scheduled to go to auction in Melbourne this week.

In West Footscray, a four-bedroom modern townhouse sold for $900,000 in post-auction negotiations, after passing in at $820,000.

The double-storey home at 32B Wellington Street features floating floorboards, fresh white walls and front and rear gardens, with a rainwater tank, all within minutes of nearby Shepherd Gardens, Tottenham station and Barkly Street shopping precinct.

The property had a price guide of $800,000 to $880,000, and a reserve of $900,000. There is no legal requirement for a vendor’s reserve to be in line with their property’s price guide.

Buxton Inner West agent and auctioneer Matthew John said bidding opened with a vendor bid of $800,000, followed by the only genuine bid of $820,000 from a first home buyer couple, after which the property passed in.

John said there had been three interested parties, but only the first home buyers were ready to buy, and once the property passed in, both the vendors and buyers were keen to negotiate to meet the reserve and avoid a protracted sales process.

John said post-auction negotiations were becoming “more commonplace”, and thought there was less confidence from buyers to “put their hands up”.