Dilapidated Sydney terrace untouched for 30 years up for sale

It's been untouched and unloved for three decades, but a Redfern terrace has property buyers lining up.

In fact, the terrace in George Street, is so untouched, it can't be lived in.

The owner moved out in 1989 when his wife died, and those 30 years haven't been kind.

If it isn't rusting, it's peeling, crumbling or decaying.

Floorboards are rotten and potential buyers haven't been able to even see the second floor because some of the stairs are missing.

"I sell a lot of properties around here and have done for a very long time," Belle Property Surry Hills selling agent Mark Foy told 9News.

"This is a first of its kind for me."

"The internal structures are so precarious that any new owner will have to start from scratch.

"There's an opportunity here to create an amazing home for someone."

He said the "blank canvas" needed a full gut and renovation.

"It needs to be reconstructed from the ground up," Mr Foy said.

Furniture and possessions litter the dusty rooms – a throw back to 1989 and beyond.

The new buyer gets all of that too – every last piece.

The family bought the home in 1925 for 1300 pounds - that's around $109,000 now.

Today, the land value alone of the site is a million dollars - add to that whatever a buyer is willing to pay in a highly competitive market.

And while that may sound a lot when you add what could be a million dollar cost to rebuild, property prices nearby are strong.

A smaller terrace a few doors away sold in late 2019 for $2.57 million. Although, it did have floors and stairs and had been fully renovated.

Sydney house prices have returned to where they were three years ago.

Property economist at myhousingmarket.com.au, Dr Andrew Wilson, predicts prices will rise another 10 percent this year, given already strong auction clearance rates.

"It's a seller's market. I think we're going to see pretty strong competition for most houses and units in Sydney this year," he said.

"That FOMO energy is going to be driving both sellers and buyers - fear of missing out.

"The ones I feel for are first home buyers who may find that heated competition prices them further out even further."

As for the Redfern terrace, it goes to auction on February 20. And, if you're interested, just mind your step.