17/125 Euston Rd Alexandria
Buyer confidence is on the floor!
The property
17/125 Euston road Alexandria is an oversized 3 bedroom, 3 bathroom, 1 car space townhouse on 242sqm. It is split over 3 levels with living/dining downstairs, two bedrooms on the middle level and a master bedroom on the top floor. There are two large outdoor terrace areas, plus two balconies. The garage provides internal access into the townhouse - a feature a lot of buyers really love.
It is in a block that is part townhouses and part apartments. The townhouse has private rear lane pedestrian access off Euston Lane which is a plus.
This specific property was last sold in November 2016 for $1,255,000 from a guide of $1,100,000.
The last two townhouses in the same block to sell were #18 and #19 which sold for $1,230,000 and $1,245,000 respectively at the end of 2020.
The Location
The location has positives and negatives.
On the doorstop of Sydney park, the heart of Alexandria and walking distance to Erskineville or St Peters train station - it could be given a gold star.
However, the front of the property faces onto Euston road which is a busy road used as the access way on and off the new M8 Westconnex. While not overwhelmingly noisy inside, you can definitely hear the traffic in the living area and third bedroom which face onto the road. This would have been a slight deterrent for some buyers.
The sales campaign
The property came to market in July 2023 with a price guide of $1,500,000. A standard four week campaign concluding in an auction the first Saturday in August. This was just four days after the Reserve Bank of Australia held the cash rate for the second time in as many months.
The market lacks a lot of buyer confidence at the moment. Despite holding interest rates, buyers are unsure if the market will be flooded with stock and/or distressed listings in the Spring period just around the corner and are holding back. If only these buyers knew what it was like to compete in a hot market they would realise how lucky they are!
The Auction | 3 registered bidders | 2 active bidders
A cold winters Saturday morning keeps the crowd away
With three registered parties and a few onlookers the auction crowd numbers were reflective of sentiment across the market right now.
Auctioneer Thomas McGlynn, a professional Bresic Whitney auctioneer called for an opening bid around the price guide of $1,500,000. He was met with a long two minute silence as all three registered bidders just looked at eachother.
It looked as if there was:
Couple 1, likely to be owner occupiers
Couple 2, likely investors; and
Couple 3 who currently live in the complex and also likely to be owner occupiers.
Eventually couple 1 come in with an opening bid at $1,400,000. $100,000 shy of the guide price.
The Waltz begins
There was nothing speedy about this auction. Couple 1 and 2 took a painstaking long waltz to get from $1.4m up to the price guide of $1.5m. It was clear the owner was never going to sell under $1.5m so would have been great to just skip the Waltz and hit a bit of Cha Cha!
Couple 3 sitting quietly clearly had no intention of bidding so Thomas did not have much to work with!
Over the $1,500,000 hurdle
After creeping up in $5,000 bids, couple 2 are out when it hits $1,550,000. This leaves couple 1 as the highest bidder at $1,555,000.
It is clear the property is not on the market at that price. Agent Michael White and Thomas seek instructions from the vendor while also having a side chat with couple 1 letting them know they need to at least get closer to the $1.6m if they’d like to buy under auction conditions.
A slight pause in auction
Phone calls and private talks on the outdoor terrace, eventually see the auction resume. Couple 1 have agreed to increase their last bid by $35,000 up to $1,590,000 and the vendor has met the market and agreed to sell at that price.
SOLD -$1,590,000.
What does this result say about the current market?
Buyers are incredible fearful of over paying and unsure how to value property in the current market. Despite being an incredibly large townhouse, there are a number of buyers who wouldn’t jump on a property like this because they do not like the property being over three levels and/or the Euston road frontage (two things you can never change).
Despite this, at just over $6,500 per sqm, it is very good buying at $1,590,000 for Alexandria.
If you are looking for an Alexandria Buyer’s Agent to assist you at auction, click here to find out more or get in touch.
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