Were you surprised to see a rotting tear-down in the inner west suburb of Leichhardt sell for the hefty sum of a $980,000? The place didn’t even have floors and most of the doors were long gone. The vendors of the shack, which had stood empty for 20 years, had expectations of around $800,000, but three bidders pushed the price right up to just under the seven figure mark at the May property sale.
Sydney’s late start to winter produced surprising results for the real estate industry, with plenty of properties up for sale and high numbers of interested buyers on Sydney’s north shore, eastern suburbs and inner west. In fact, the warm weather was credited with bringing out record numbers of autumn listings in May and an unprecedented volume of buyers and sellers.
Just about the only working asset on the ancient hut was the TV antennae, but the prospective buyers were more than likely not looking to move right in, as the 278 square metre property already had approval for a full demolition and for a new home to be built. No doubt the house that goes up will be a lot more modern and it will even have floors!
While close to a million dollars might seem like a lot, a gorgeous new house in the hugely popular Leichhardt can sell for well in excess of $1.5 million, so if the buyers can keep within budget when they build a new place they will be setting themselves up to make a profit. Even at the premium price tag, they’ve stuck to the old adage of ‘Location, Location, Location’ and bought what’s definitely the worst house in one of the best streets.
Leichhardt thrives because of its inner city location, the fabulous hub of restaurants and cafes and access to reputable schools as well as good public transport. The popularity of the suburb has only ever increased, and is not likely to wane any time soon. Investing in what will soon be an empty block of land will more than likely pay off well for the buyer.
