Classic Ensuite - But Not For Us

This was an average property with a newish, classically styled ensuite. Most buyers would probably see the renovation and assume it added value.

We didn’t. We knew the market, and we spotted something in that ensuite that most buyers would have missed.

The property was listed just before the 2026 Budget announcement, with an asking range of $1.3 million to $1.45 million. In an ordinary week, it may well have sold. But the timing was poor, and the market shifted immediately post budget announcements.

But shifting market does not mean a shifted expectation. The agent insisted that $1.4 million was a reasonable price.

We disagreed. We had our pulse on the property market and we replied, a nearby property in better condition had recently sold for around $1.2 million. More importantly, the property she was selling had a significant water-leak issue in the ensuite.

Our assessment? It was approximately $300,000 overpriced — more than 20%. Yes, $300,000 too much, plus a potentially extensive $20k+ toilet renovation.

The ensuite had a significant leak. The floor was wet during inspection, and most people would believe it was just cleaned. But the bigger clue, which many buyers would not have noticed, was the calcified water staining between the tiles, suggesting the problem was not new, is potentially extensive and had been leaking for a long time. These points to a leaking, and potentially defective shower area. The leak caused water to spread beyond the shower, and this looks like a whole toilet rebuild to me.

Is it worth investigating?

Yes, it can be worth investigating. But not at the asking price of $1.4 million. In the worst case, a toilet rebuild could cost $80-100,000, including mold-rectification and fixing other defects resulting from the leaks. And that would means the buyer will be paying $1.5million for a house independently appraised at $1.1million?

We walked away. We're not prepared to overpay by 36%.

The property remained on the market for another two months before the asking price was reduced by a rather “magical” $300,000.

Sometimes, the best property decision you make is the one you don’t buy.

Rejected Due to: High-cost Repairs