A run-down property that was only worth $5 in rent has sold  for $896,000 under the hammer on Friday. Located in Waverley in Sydney's eastern suburbs,  the rotting single-storey terrace is surrounded by properties that reel in rent close to the $1000 mark. Selling for $96,000 over the set reserve, the 'renovator's delight' comes with holes in the floorboards, rotting carpet and peeling paint. A run-down property that was only worth $5 in rent has sold for $896,000 under the hammer on Friday . Selling for $96,000 over the set reserve, the 'renovator's delight' comes with holes in the floorboards, rotting carpet and peeling paint . Anthony Romano from LJ Hooker Randwick said the property's rental arrangement place landlords in an interesting situation, leaving it off the market for more than a century. 'The protected tenancy arrangement stated that the laws were inherited so this place has been rented by several generations in the one family for the same price', Mr Romano told The Daily Telegraph. 'Rent was set over 50 years ago at 2.15 pounds a week which translates to $4.95,' he said. As rental prices in Waverley have increased over the years, the privately owned home was subsequently trapped in a rental freeze since World War II. The rental arrangement was set in place to provide security and rent control for tenants, as part of the 1948 Landlord and Tenant Act which has not applied since 1986. Mr Romano, the selling agent for the property, said that the 'rare situation' left the owner unable to renovate the run-down home. 'The owner wasn’t going to do anything to update the home given what rent he was receiving and neither was the tenant,' Mr Romano said. Anthony Romano, the selling agent for the property, said that the 'rare situation' left the owner unable to renovate the run-down home . As rental prices in Waverley have increased over the years, the privately owned home was subsequently trapped in a rental freeze since World War II . A few weeks ago, Waverley Council registered the property as 'unliveable', breaking the aged tenancy agreement and allowing the owners to place it on the market. On Friday a crowd of around 30 people lined up to inspect the crumbling 117-square-metre property, . 'I can only let a few people through at a time because of the state of it,' Mr Romano said. The property received 33 bids from parties interested on the day, but went to a young couple from Randwick in Sydney's east. 'I guess it really is a dump, but I think everyone likes to refer to it as a “blank canvas, don’t they,' said buyer David Shannon. The couple had previously missed out on four run-down properties that were at auction in recent weeks and were fixed on the idea of purchasing an inner city 'fixer upper'. 'We went to auctions in Waterloo, Redfern and Chippendale but kept missing out. But we’re so excited to have this one because you don’t often find a place like this so close to the beaches,' Mr Shannon's partner, Lucy Carse said. The couple plan on renovating the property and renting it out. 'But we will definitely charge the tenants more than $5 a week!' Ms Carse said. On Friday a crowd of around 30 people lined up to inspect the crumbling 117-square-metre property . The property received 33 bids from parties interested on the day, but went to a young couple from Randwick in Sydney's east .
A Waverley property in Sydney's eastern suburbs has been stuck in a tenancy arrangement for decades .
The family-owned property saw several generations rent out the home for the same price - $5 .
Waverley council deemed the house 'unliveable', allowing it to go on the market .
The property sold for $96,000 over the set reserve on Friday .
A run-down property that was only worth $5 in rent has sold  for $896,000 under the hammer on Friday. Located in Waverley in Sydney's eastern suburbs,  the rotting single-storey terrace is surrounded by properties that reel in rent close to the $1000 mark. Selling for $96,000 over the set reserve, the 'renovator's delight' comes with holes in the floorboards, rotting carpet and peeling paint. A run-down property that was only worth $5 in rent has sold for $896,000 under the hammer on Friday . Selling for $96,000 over the set reserve, the 'renovator's delight' comes with holes in the floorboards, rotting carpet and peeling paint . Anthony Romano from LJ Hooker Randwick said the property's rental arrangement place landlords in an interesting situation, leaving it off the market for more than a century. 'The protected tenancy arrangement stated that the laws were inherited so this place has been rented by several generations in the one family for the same price', Mr Romano told The Daily Telegraph. 'Rent was set over 50 years ago at 2.15 pounds a week which translates to $4.95,' he said. As rental prices in Waverley have increased over the years, the privately owned home was subsequently trapped in a rental freeze since World War II. The rental arrangement was set in place to provide security and rent control for tenants, as part of the 1948 Landlord and Tenant Act which has not applied since 1986. Mr Romano, the selling agent for the property, said that the 'rare situation' left the owner unable to renovate the run-down home. 'The owner wasn’t going to do anything to update the home given what rent he was receiving and neither was the tenant,' Mr Romano said. Anthony Romano, the selling agent for the property, said that the 'rare situation' left the owner unable to renovate the run-down home . As rental prices in Waverley have increased over the years, the privately owned home was subsequently trapped in a rental freeze since World War II . A few weeks ago, Waverley Council registered the property as 'unliveable', breaking the aged tenancy agreement and allowing the owners to place it on the market. On Friday a crowd of around 30 people lined up to inspect the crumbling 117-square-metre property, . 'I can only let a few people through at a time because of the state of it,' Mr Romano said. The property received 33 bids from parties interested on the day, but went to a young couple from Randwick in Sydney's east. 'I guess it really is a dump, but I think everyone likes to refer to it as a “blank canvas, don’t they,' said buyer David Shannon. The couple had previously missed out on four run-down properties that were at auction in recent weeks and were fixed on the idea of purchasing an inner city 'fixer upper'. 'We went to auctions in Waterloo, Redfern and Chippendale but kept missing out. But we’re so excited to have this one because you don’t often find a place like this so close to the beaches,' Mr Shannon's partner, Lucy Carse said. The couple plan on renovating the property and renting it out. 'But we will definitely charge the tenants more than $5 a week!' Ms Carse said. On Friday a crowd of around 30 people lined up to inspect the crumbling 117-square-metre property . The property received 33 bids from parties interested on the day, but went to a young couple from Randwick in Sydney's east .
Friday. Located in Waverley in Sydney's eastern set reserve, the 'renovator's delight' comes with worth $5 in rent has sold for $896,000 under the hammer on Friday . Selling for $96,000 over the leaving it off the market for more than a century. 'The protected tenancy arrangement has been rented by several generations in the one family for the same price', Mr Romano told The and allowing the owners to place it on the