Purchased $100,000 Under Budget – A Strategic Auction Win in Darlinghurst
The client
This couple, currently living outside of Sydney, already owned an apartment in the inner city that their child was using while studying. They frequently visited Sydney and found it increasingly inconvenient for the whole family to squeeze into a single apartment during their stays. When a nearby property came up for sale, they saw the perfect opportunity to give their child their own space—and improve their own living arrangements during visits.
However, they couldn’t be in Sydney for the auction, so they engaged me to step in and secure the property on their behalf.
The property
A one-bedroom, strata title apartment in the heart of Darlinghurst. It had been renovated internally and was situated in a well-maintained older-style block with a leafy green outlook. The building had been recently repainted, and there were no major works forecast—indicating a solid, well-managed strata scheme with healthy financials.
When assessing value, two critical factors needed to be considered:
Strata vs Company Title
In Darlinghurst, around 30% of older-style apartment blocks are Company Title. These tend to sell for about 10% less than strata title units, largely due to stricter lending criteria from banks. So, for an accurate comparison, we focused only on recent strata title sales.Size Matters
The apartment had an internal area of 45sqm. Properties under 40sqm often struggle to qualify for finance, which affects pricing. Again, we excluded those smaller units when determining fair value.
The Strategy
The agent initially quoted a guide price of $750,000. Midway through the campaign, they received an offer of $805,000 but chose to proceed to auction. We anticipated 4–5 serious bidders, including the person who made the $805,000 offer. Typically, pre-auction offers are surpassed during bidding, so we expected a sale price north of $805,000.
Based on comparable sales and our detailed analysis, I advised my clients that fair value was between $820,000–$880,000.
A snapshot of the email I sent my clients before the auction about where they needed to be to be successful
The Auction
Bidding opened at $760,000. A second bidder responded at $780,000. The momentum slowed as a third investor entered at $797,000. By $800,000, the initial bidder had dropped out—revealing a critical mental barrier among the investors.
I entered the auction at $802,000.
The Winning Move
At this point, the dynamics were clear:
A fourth bidder—a young first home buyer—had attempted to bid early, but his offer wasn’t acknowledged due to timing. He never returned, suggesting he wasn’t in serious contention.
One investor was visibly showing signs of pulling back (head shakes, body language).
I needed to send a clear signal that I wasn’t going to overpay—and that the value had reached its peak.
Bidding continued slowly:
Investor Two inched up to $815,000.
I countered confidently with $817,000, prompting her to withdraw completely.
Investor Three came back at $818,000.
I replied immediately with a fast, firm bid of $820,000.
The auctioneer called it in my clients’ favour—success!
The Outcome
My clients secured the property for $820,000, even though we had assessed value up to $880,000—that’s a $60,000–$100,000 saving, thanks to strategy, not luck.
At the sharp end of an auction, buyers stop bidding for one of two reasons:
1. Financial limits, or
2. Emotional resistance to paying more.
In this case, both competing investors had hit their financial (and likely emotional) ceilings in the low $800,000s. By managing the tempo and signalling confidence—without showing eagerness—I was able to take control and end the bidding quickly.
Why Use a Buyer’s Agent at Auction?
People often ask why they should hire someone to bid on their behalf. This story is the perfect answer. If another buyer is truly willing to pay more than you, no strategy will stop them. But in many cases, like this one, the difference comes down to knowing how and when to bid.
Would you invest $825 to save $100,000?
That's the power of strategy. The quicker you get the underbidder to walk away, the less you pay. That’s how you win at auction.
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