16/14 Warringah Rd, Mosman sold for $901,000.

It offered buyers a titillating prospect — water views for a possible purchase price around the $800,000 mark.

And it was no surprise then that the auction of one-bedroom unit on Warringah Rd in Mosman drew a big crowd.

There were nine registrations and onlookers packed out the hallways and common areas.

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With that level of interest, the 58sqm apartment was almost guaranteed to sell above initial expectations and there was strong bidding from a mix of first home buyers and investors, according to selling agent Mitchell Soineva of Belle Property-Mosman.

The price was $51,000 over reserve.

The property sold to a first home buyer for $901,000, with the strongest rival bids coming from other first-timers. The price was $51,000 over the reserve price.

The buyer’s guide had been $750,000 and 70 groups inspected the property in the lead up to the auction.

“The market is in a much better place,” Mr Soineva said. “We’ve gone through the biggest pain period and more buyers are coming to inspections.

“We haven’t seen this level of demand since the peak of the market (two years ago).”

The home is located on Balmoral Slopes, giving it a north-facing panaromic outlook over the Harbour and Clontarf.

CoreLogic records revealed the property last sold in 2001 for $410,000.

The property was one of only about 20 homes to go under the hammer yesterday on the lower north shore. The low volume of listings meant many buyers were competing for the same properties and about 87 per cent of auctions in the area were a success last week.

CoreLogic auctions analyst Kevin Brogan said many homeowners appeared to be sitting on their hands and were not yet ready to commit to selling.

“Listings numbers are usually low in winter, but they are especially low at the moment,” he said.