The new owners of 7 Shepherd Street contended with another couple who had only seen the home for the first time on Saturday.
They outbid eight other buyers for the two-bedroom home spanning just 76 square metres. The cottage last sold for $395,000 in 2000.
The property last sold for $9.2 million just over two years ago. The house had been demolished since,and the site subdivided into two lots.
The imbalance between demand and supply looks to be entrenched in the Perth property market and will continue to put upwards pressure on home values.
Daniel and Alice were given a price guide for one property of $2 million that sold for $2.6 million,but he has a solution.
He had been travelling long distances to go to auctions that sold for twice what he expected,then realised there must be a better way.
Cutting down on monthly mortgage repayments might sound appealing after a string of interest rate rises,but it does come with a trade-off later.
Home buyers willing to compromise on space can buy into prime pockets of Sydney for a fraction of the cost,but will face a hurdle when it’s time to upsize.
This family hasn’t had a mortgage for years. After 18 months travelling in a caravan,they designed a different way to live for less.
Determined home buyers can still find their way into the market with careful planning and the help of some new government schemes.
Potential buyers here have budgets large enough to shake off the effect of rising mortgage repayments,sparking fierce competition.