A two-bedroom home a stone's throw from the Warrnambool Base Hospital has sold for $51,000 above expectations.
Three parties started bidding at $400,000 and took the price up in $10,000, $5000 and then $1000 bids until reaching the sale price of $507,000 for the property at 270 Koroit Street.
Ray White Warrnambool agent Tessa Dayman said the buyers were a couple from western Victoria who plan to keep it as an investment property, and potentially retire in Warrnambool in coming years.
"I think the couple just wanted a sea change eventually. They like Warrnambool for what it is and offers," Ms Dayman said.
The property is currently rented out to South West Healthcare and has been since 2012. It last sold in 2003 for around $205,000.
"Anything central is in high demand, anything that offers multiple aspects for an Airbnb, rental, and is walking distance from the foreshore will always be popular," Ms Dayman said.
The three bidders were all from regional Victoria.
Have you signed up to The Standard's daily newsletter and breaking news emails? You can register below and make sure you are up to date with everything that's happening in the south-west.