Christmas has come early for the owner of an original home in Hamilton’s most festive suburb after the house sold in a hot auction for $890,000 – $90,000 more than her bottom line.
The auction for the original 1990s brick home on Longwood Place, in Harrowfield, opened and was announced on the market at its advertised reserve of $800,000 in Lodge’s auction room on Thursday.
But with seven registered bidders, the price quickly rose in small, swift bids of between $1000 and $10,000.
Both investors and owner-occupiers put their hands up for the do-up and by the time it reached about $850,000 there were just two younger families competing for it.
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Lodge listing agent Blair Pointon said one “happy family” eventually secured the home for $890,000 after a total of 17 bids. The sale price was $30,000 below its RV of $920,000.
He also phoned the elderly owner straight after the auction and said she was blown away with the result, which had exceeded both hers and his own expectations.
“She commented that setting a realistic price point definitely helped attract more people.”
Selling a property with an advertised set reserve was a good idea if the owner was prepared to meet the market, he added. “If you set a realistic bottom line and you are happy with the bottom line then you never know what can be achieved on the day.”
The $800,000 reserve had reflected the fact that the home was in original condition and that the owner was motivated about selling, having already moved to a retirement home, he earlier told OneRoof.
The Longwood Place home had been lived in by the same owner since it was built in the 1990s and was in original condition. Photo / Supplied
Harrowfield's annual Christmas lights display is well known in the city and attracts thousands of people to the suburb. Photo / NZME
The property could be lived in as is, but there was potential for the new owner to renovate it.
The 180sqm house was one of the smaller established homes in the one-road-in and one-road-out suburb, which also made it one of the more affordable standalone homes on a larger site to sell in the suburb in recent years.
Since the beginning of 2021 there have only been four houses on sections over 600sqm sell for under $900,000 and the Longwood Place home is the first this year, OneRoof-Valocity records show.
Infill housing on smaller 200sqm to 400sqm sections on Mistry Place and Landell Place have also crept into the suburb in recent years with sales for duplexes starting from about $600,000.
Harrowfield was set up as an executive suburb 30 years ago with one road in and one road out. It has gained a reputation for being the most festive area in Hamilton during Christmas with cars snaking around the loop road from mid-December to watch the impressive light decorations on most of the houses.
People from all over the city visit the suburb to admire the elaborate light displays, with some homeowners upping the ante and creating Santa grottos, fake snow and even music shows.
A home overlooking the Waikato River on Silva Crescent, in Riverlea, sold under the hammer for $1,202,500. Photo / Supplied
There was less competition, but still a result, for a second three-bedroom, two-bathroom home at the opposite end of the city when it was called minutes later in the same auction room.
The auction for the Silva Crescent riverside home, in Riverlea, opened at a low $900,000 bid, which the auctioneer described as land value only. Bidding then jumped to $1 million and after several small bids paused for negotiation at $1.17m. The auction re-opened and the property was announced on the market and sold for $1,202,500.
Lodge listing agent Chase Gray said the two bidders were both empty-nesters who wanted the private river setting and large gully section. The new owners plan to modernise the home, which was in its original condition.
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