During an auction called Super Saturday, the public was able to witness the kind of houses for sale is either shabby dumps or properties that are not possible for human to reside. Not even a dozen plasterers in Sydney will be able to remedy the situation.
For the past three years, the number of houses that are listed for sale has been on a constant high. Data showed that there is an increase of 13 per cent compared to the same period last year.
Reports explained that because of the high number of options, buyers will not be faced prices that are too high which is common when there is stiff competition among bidders.
There is also limited competition among brave homeowners who are willing to fix slump houses and those that are crumbling.
John Cunningham, the president of Real Estate Institute in New South Wales said that during the auction buyers were able compare properties. The competition was not as strong because investors did not push through with buying after the banks put a restriction for applying an investment loan.
Ordinary buyers were given the chance to bid in homes that have issues or defects.
Mr. Cunningham said that there are houses that stay longer for sale because of undesirable features such as having too many steps, located on a busy road or facing the south. During the auction, the market will be neutralized.
Things are normal again because the past few years almost every kind of home is being snatched up and now we are in a state where only the best properties are offered the highest prices.
During the Super Saturday auction, even homes that require total renovation is selling for up to $1.7 million. If these were sold a year ago, the price would have been sky rocketing because of the number of bidders.
Many might not consider this as a cheap price but the deal about these properties is their great potential after renovation.
One example is a property located in Surry Hills which is tagged as uninhabitable. The house has four bedrooms and has a large space but the bathroom alone can be a risk to the human health. The ceilings are almost collapsing and plasterers in Sydney will have to resurface the plaster walls of the terrace.