Ten buyers lined up to bid for an “empty shell” Rowville house, sending it to a result $134,000 above the seller’s reserve.
While the house has brick veneer walls, the interior is bare without any bedrooms, kitchen or bathroom.
On a 649sq m block, the house attracted plenty of interest with nearly 100 groups at inspections, Mr Johnson said.
“Bidders included developers and those looking to demolish the house and build a dream home,” he added.
“There was value in the property because of the existing structure, and the buyer plans to renovate the house.”
The property sold for $754,000, well above expectations, on April 29.
“It is evident there is a lack of supply in the market and this has led to an uptick in prices,” Mr Johnson said.
“With strong demand and low supply, it is a good time to sell, and we are getting more than three offers per sale.”
At the recent sale of 70 Eildon Parade, Rowville, the seller received a whopping 13 offers before accepting $966,888 for the property.
The three-bedroom, two-bathroom house on 670sq m sold well above the seller’s expectations.
Barry Plant agents reported a strong auction clearance rate of 90 per cent for the week ending April 29, with 44 of 49 properties sold.
Among the top results was 367 Upper Heidelberg Rd, Ivanhoe, which nabbed a $365,000 premium above the reserve for the seller.
The mid-century-inspired house was called on the market at $2.5 million and sold for $2.865 million with five bidders competing.
In the city’s outer-eastern suburbs, buyers are paying top prices to get into the zone for the East Doncaster Secondary College, one of the state’s high-performing public schools.
A four-bedroom house at 10 Houndswood Close, Doncaster East, fetched more than $2 million in a three-bidder contest that smashed the $1.8 million seller’s reserve price.
A drawcard for buyers was the location in the secondary college catchment, according to Barry Plant Manningham auctioneer Robert Groeneveld .
“East Doncaster Secondary College is a key factor for many buyers looking to move into the area,” he said.
The agency recently sold a one-bedroom apartment for $370,000 to a family looking to enter the coveted school zone.
And a family moving from the western suburbs paid $1.158 million for 1/70 Franklin Road, Doncaster East, which is an 11-square unit built in 1992.
The seller had expectations of between $800,000 and $880,000.
“We are seeing families exchange larger homes in the west to move into smaller properties in Doncaster East for the school zone,” Mr Groeneveld said.