A dated home with a huge backyard has raised the price benchmark by more than $1 million in Bayswater North.
The 31 Hamilton Rd property also rewarded its long-time owners with a huge price gain when it fetched $2.965 million on October 3.
They had paid just $90,000 for the 5063sq m property on two titles in 1993.
The result sailed over the previous suburb record held by 320-328 Canterbury Rd, which sold for $1,950,320 in 2013. That development block occupies almost 10,000sq m.
Late last year, a three-bedroom house at 41 Elmhurst Rd on 2648sq m fetched $1.88 million with potential to develop units.
The Hamilton Rd property was listed with a price guide of $3.065 million.
Listing agents Methven Professionals Mooroolbark declined to disclose the sale details. It is understood the vendors received several strong offers for the site from developers.
The four-bedroom house with a study is dated and on 1248sq m. The second title, making a huge backyard on 3815sq m, offers potential as a multi-unit site. The location is convenient to the train station, shopping and several schools.
The median house price in the suburb was $670,000 in the year to June, according to CoreLogic data.
It recorded a 7.8 per cent decline over the period although the median price grew 12.6 per cent over three years.