It was a magnet for squatters and wild animals — but a NSW house still sold for an amazing price.
An amazingly low price.
At just $7000, it is Australia’s cheapest house to sell this year and one of a recent string of homes released at rock bottom prices in the ongoing housing downturn.
The price for the cladded home on a 506sqm block in the town of Hay, in the state’s south west, is cheaper than most used cars and also almost $2000 cheaper than some luxury handbags, including one type of Chanel Vintage shoulder bag which retails for about $8900.
Sales figures show there were other regional NSW homes now available for under $30,000, with homes in the Greater Sydney area also available for as low as $150,000.
The prices have followed a nearly 20 per cent drop in demand for housing across the country and a six per cent slide in national real estate prices over the past year.
Homes available for buyers prepared to get their hands dirty include a four-bedroom house in northwestern NSW town Boggabilla for sale at $28,000.
Further south, a fire-damaged house on Edward St in Moree is listed at $15,000.
Another burnt out house in Moree is available for $10,000 and includes a “rustic shed” and laneway access, according to information provided in the listing.
Real estate agent Therese Murphy of Harcourts was behind the $7000 sale in Hay and said the home was so cheap because it required substantial work.
“The house was trashed and there were loose bricks everywhere,” she said.
The property has yet to be settled but is now under contract for the listed price and likely to be taken off the market, with Ms Murphy adding that buyer interest in the property surged once it was listed for the rock bottom price.
It is understood the home was sold off by the local council after past residents failed to pay their rates.
CoreLogic research revealed the home was 74 times cheaper than the average Australian home price of about $520,000.
The cheapest detached house in the Greater Sydney area, excluding properties within retirement communities, is a one-bedroom cabin in Hawkesbury River enclave Bar Point listed at $150,000.
Also at $150,000 and further up the Hawkesbury River is a fibro house on 967.5sqm on Wisemans Ferry Rd. Another cabin in the Blue Mountains is for sale at under $240,000.
Agent Martin Schoeddert, who is selling the Blue Mountains property on Mount Irvine Rd in Mount Wilson, said even the owners — a utility company — were unsure of the rundown cabin’s past.
The $239,000 price tag reflected the value of the land, which is nearly 2000sqm, he said.
A CoreLogic review of property transactions revealed home seekers intent on buying into a suburb within 30km of the Sydney CBD would get the cheapest deals in Carramar, near Fairfield.
Carramar units currently have a median price of $329,373, according to the research group.
Other southwestern suburbs also offered unit prices typically under $400,000, including Warwick Farm, Fairfield, Liverpool and Cabramatta.
Sydney’s cheapest suburbs within a 10km radius of the CBD are Eastlakes, Croydon Park and Hillsdale — the only inner areas with a median unit price below $600,000.