A local upsizer paid $2 million for a small semi in Balmain after the vendor dropped their reserve by $100,000 at auction on Saturday.

The two-bedder with stained glass, iron lacework, a leafy courtyard and upstairs balcony at 15 Gladstone Street had clear views across the city, including the Sydney Harbour Bridge.

The property was one of 564 scheduled to go to auction in Sydney last week. By Saturday evening, Domain Group had recorded a preliminary auction clearance rate of 53 per cent from 311 reported results throughout the week, while 93 auctions were withdrawn. Withdrawn auctions are counted as unsold properties when calculating the clearance rate.

Three parties registered to bid on the Federation-era property with a $2 million guide. All were young couples or families, but only one made an offer, opening the auction at $1.9 million.

The next bid was a vendor bid of $2 million, then the opening bidder asked the auctioneer if they could match the vendor bid. This was accepted.

The vendor then agreed to adjust their reserve of $2.1 million, and it sold under the hammer for $2 million.

There is no legal requirement for a vendor’s reserve to be in line with their property’s price guide.

Selling agent Richard Baini of Richard Matthews Real Estate said the street was full of onlookers: “The crowd was easily over 100 people.”

“There’s a lot more buyer confidence coming back into the market,” Baini said. “They’ve gone and reassessed their financial position with their brokers and banks, and the buyers are back out looking and buying again.”

The vendor is moving out of Sydney. The house last traded for $463,000 in 1999, records show.

In Dulwich Hill, a “shell” of a property in dire need of renovation sold for $840,000.

The two-bedroom, top-floor apartment at 8/401 Marrickville Road drew four registrations. Three took part, and all were first home buyers.

Bidding opened at $750,000 and climbed in $10,000 rises, quickly surpassing the $790,000 guide and reserve.

Once bidding reached $800,000, two buyers traded alternating bids of $1000 and $5000 until it sold under the hammer for $840,000.

Richardson & Wrench’s Aris Dendrinos noted uncertainty in the market.

“It’s not a market of fear. It’s a market of uncertainty, and it’s the worst market because when people are fearful, they act. When they’re uncertain, they don’t act,” he said.

“People can panic buy, and people can panic sell because they’re fearful. They want to get their money. They want to move on and do the next thing. But when they’re uncertain, they don’t do much.”

The deceased estate last traded for $158,000 in 1994, records show.