house sealed with tape that is dangerous and considered unsafe for health sells for a huge price
A moldy 1970s house with a leaking roof and rooms sealed with danger tape sold for $ 1.68 million in a frantic auction involving 16 bidders.
The three-bedroom home on the northern beach suburb of Frenchs Forest had fallen into disrepair after years of neglect by the previous owner and was in need of extensive work.
Many rooms suffered water damage and signs were erected throughout the house warning visitors of potential health risks. Di Jones’ sales agent Michael Cawthorn said the house was uninhabitable.
Buyers Thalita and Rafael Marcondes said they plan to spend around $ 300,000 to restore the Avenue of the book home. They paid $ 280,000 from the reserve for the deceased’s estate.
Ms Marcondes said they weren’t put off by the condition of the house and instead saw it as an opportunity to enter a sought after suburb at a lower cost. They plan to do part of the restoration themselves.
“We are going to make it liveable,” she said. “It’s a good street and we saw a lot of potential.
This was the third auction the couple had signed up for and they said they were happy their home search was over. “We continued to outbid,” said Marcondes.
The couple bid on Saturday against a mix of families with plans to renovate or expand the home and builders considering a demountable reconstruction project. Seven of the registered parties made offers.
Mr Cawthorn said the sloping 696m² block limited what could be built on site but did not seem to deter many potential buyers. “The interest was huge,” he said, adding that there was also an easement on the property.
Auctioneer Josh Larsen received an opening bid of $ 1.25 million shortly after the procedure was launched and the bids increased in initial installments of $ 50,000 and $ 25,000. The buyers were the last to participate in the auction.
The underbidder, clad in high-visibility clothing, revealed that he was well over budget with a final bid of $ 1.675 million, despite having his maximum price inscribed in red ink on his wrist.
The Marcondes family revealed that they also went over budget, paying around $ 80,000 more than their limit.
Mr Larsson said this was typical of many auctions where there were a high number of registered bidders.
“People feel more justified in stretching when they see how many other people want the property,” he said.
The late previous owner was said to have been a “hermit” who rarely left the property for five decades of ownership. An antique dealer, he would have filled the house to the brim with rare antiques such as vases from the Ming dynasty in China.
The Frenchs Forest house was one of some 1,230 properties in Sydney slated to come under hammer this week – one of the highest June auction volumes on record, according to CoreLogic.
The liquidation rate of auctions has been steadily declining since early March, when nearly 90 percent produced a sale. Last week, the liquidation rate fell to 76% – still indicating a strong market – but not as rampant as before.
Some analysts have likened the change to the change from “warm white” to “warm red” conditions.
WITH AIDAN DEVINE