A Sydney mum has just given a whole new meaning to Christmas spirit after buying her son a $1 million house as a present for December 25.
A mum from Sydney’s prestigious north shore has just given a whole new meaning to Christmas spirit after buying her son a $1 million house as a Yuletide present.
Late last month, the cashed up mother aged in her 70s outbid everyone else by a whopping $80,000 to score her son a four-bedroom, one bathroom, 657 square metre home in South Penrith, in the city’s west.
The property’s price guide was listed between $899,000 and $969,000 but most offers were around the $900,000-$920,000, according to the realtor, Cameron Faico of Property Central.
Then a woman from Wahroonga in Sydney’s upper north shore swept in and offered $1 million upfront.
“It was massive, well above the rest of the competition,” Mr Faico told news.com.au. “The owners were ecstatic. It was unexpected, I didn’t expect to get anywhere near that.”
The estate agent explained that the expensive purchase was because the woman was “buying it as a present for her son, which he didn’t know about at the time”.
“Her gift was to secure his financial future,” he added.
The property will be fully settled by January — perfectly timed for a late Christmas present.
Mr Faico said the woman’s son was in his late 20s and had a young family he needed to support.
“It’s not just giving someone a million dollars, the beauty of what she’s done [is] she’ll turn that million into more money, by parking that money in property,” he explained.
The real estate agent said he would be over the moon if someone bought him a house for Christmas, saying “I’d feel like I won the lotto”.
The woman visited the house on its second open home on October 23. Later that day, she put in her offer.
Just five days later, they had sealed the deal.
The Penrith property was last sold in December 2013 for a mere $473,000, which Mr Faico said was testament to the “growth potential” in the area.
“Competition is really fierce at the moment,” Mr Faico, who has worked in the Penrith market for 12 years, said.
“Most locals want to buy locally, so there’s always been demand, but because a lot of Sydney buyers have been priced out of that city market, they’re looking further.
“For a million you can get four bedrooms, a backyard and a good sense of community, whereas $1 million in Sydney [near the city] will buy you not much.
“A lot of people are looking to move.”
However, data from property analytics firm CoreLogic suggests that the property market is getting sluggish — which means a $1 million property as a Christmas gift might not be as good as it sounds.
The last two months has seen growth rates for Australian property prices stalling as new homebuyers struggled to get a deposit together to match inflated values, according to CoreLogic.
House prices rose nationally by 1.49 per cent in October compared with 1.51 per cent in September, a drop from the peak rate of growth in March of 2.8 per cent.
CoreLogic research director Tim Lawless warned that “it’s highly likely the housing market will continue to gradually lose momentum.”
He previously said: “It is becoming increasingly clear the housing market moved past its peak rate of growth in March”.