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Darlinghurst dump expected to sell for 13m under the hammer

A COMPLETELY dilapidated and unlivable home in Sydney’s inner city will go to auction this weekend with a price guide of $1.3 million.

The one-bedroom house in Darlinghurst has no floors, a caving roof and peeling walls, but that hasnt stopped it from attracting reasonable interest from buyers.

Selling agent Edward Brown from Belle Property Bondi Junction said he has already been asked for contracts from buyers who will turn up to the auction on Saturday without even bothering to go inspect the property.

Darlinghurst is a highly-sought after inner city, eastern suburbs located just minutes from the middle of Sydneys CBD.

According to Mr Brown, the vendor has owned 162 Bourke Street for more than three decades but has been using it as his own personal dumping ground for storage while he lives in Sydneys lower north shore.

It was last sold in February 1978 for $22,000, according to CoreLogic property data.

The house is described on its online listing as completely dilapidated and unlivable with significant internal deterioration and not for the faint hearted. But it also says there is vast scope to transform the dual level sandstone residence, subject to council approval.

This three-bedroom, one-bathroom terrace on the same street, at 232 Bourke Street, sold last month for $2.025 million. While neatly presented and ready to live in, it isnt much bigger than number 162 with a block size of 128sqm, compared to 108sqm.

Elsewhere in Darlinghurst, this rundown warehouse at 45 Burton Street sold in just two weeks for $2.2 million after its previous owners, Tap Gallery, completely gutted it, leaving only a shell.

Nab passes on full rba interest rate cut

NAB has followed the lead of Commonwealth Bank and Westpac in reducing its standard variable home loan rate, passing on the full 25 basis points cut made by the Reserve Bank on Tuesday.

NABs standard variable home loan rate is now 5.63 per cent, a figure NAB said is its lowest standard variable rate in nearly 40 years.

NAB group executive personal banking said the average NAB customer with a standard variable home loan will save $62.50 a month. The new rate will be effective from February 20.

NABs move means ANZ is now the only Big Four bank to have not announced its intentions. The bank said it will make a decision by tomorrow.

When the RBA announced it would lower the official cash rate to a historic low of 2.25 per cent, the first lenders to pass on the cut were smaller outfits ME Bank, ING Direct and Bank of Queensland. Since then, Maitland Mutual, Newcastle Permanent and Greater Building Society have all cut their standard variable rate.

Subsidiaries of the Big Four banks that have announced their rate cuts St George, BankWest and Bank of Melbourne will also pass on the 25 basis points reduction.

Treasurer Joe Hockey has urged lenders to pass on the interest rate cuts to all customers including those with home loans, business loans and credit cards.