Homes are selling for as little as $100 in the picturesque New South Wales town of Murwillumbah — but there’s a catch.
In the second auction of its kind this year, around 50 people watched on as 19 bidders registered to vie for 10 flood-damaged properties, which all sold for a total of $185,000.
This house at 24 Kyogle Rd, Bray Park, just sold for $5000.
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Launched after the Northern Rivers region’s devastating floods in 2022, the auctions enable homes acquired under the NSW government’s flood buyback scheme to be sold and relocated to flood-free land.
So far, 150 flood-affected properties across Lismore, Murwillumbah and surrounding areas have been offered for sale by the state government since 2024 without a reserve price, meaning bidding can legally start and end at just $1.
In this latest auction in Murwillumbah, bidders included a former rental tenant and a tourism operator, who were among 10 parties who picked up houses for between $100 and $100,000.
Three of the most heavily damaged homes, in River St, South Murwillumbah, and Tweed Valley Way in Burringar sold for just $100 each.
This house at 6060 Tweed Valley Way, Burringar, just sold for $100.
A First National Real Estate Murwillumbah spokesperson said one of the winning bidders loved the idea of rescuing a house they had rented more than a decade ago, while another was considering using the house for tourism accommodation.
But while the homes are going cheap, it’s not without conditions. All auction bidders must show they have secured land to relocate the flood buyback home before the end of 2026.
NSW minister for recovery Janelle Saffin said the flood buyback auctions had become one of the most accessible housing opportunities in the country, offering a practical way for buyers to secure a home while supporting the region’s long-term flood recovery.
This house at 82 River St, South Murwillumbah, just sold for $100.
“About a thousand homes will have been removed from the highest-risk floodplain area, and the buyback auctions in Murwillumbah are playing a significant role in meeting that goal,” Ms Saffin said.
“It is heartening to see young families and first-home buyers walk away with keys to a safer future, with three of these houses sold for $100 each.”
All proceeds from the home sales (after costs) are reinvested into the Resilient Homes Program to support more flood-affected residents.
Ray White chief economist Nerida Conisbee said the flood events in the region had not had a huge impact on home prices, rising insurance costs, insurer withdrawal and government-led home buyback programs had constrained demand and increased uncertainty.
This house at 78 River St, South Murwillumbah, just sold for $100.
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“The 24-month rolling median (for Lismore) shows a clear interruption to price momentum following major flood events, with recovery slower and more fragile than in markets that experienced more isolated disasters,” Ms Conisbee said.
“In this case, the frequency and certainty of risk has led to a more fundamental reassessment by buyers.”
But other areas have been more resilient since flood events, such as Brisbane after the 2011 disaster.
While affected suburbs initially recorded price declines, by 2017 median values were well above pre-flood levels, Ms Conisbee said.
“In these cases, disasters acted as short-term shocks rather than triggers for lasting changes in buyer behaviour,” she said.
She said the speed and strength of recovery of a market tended to depend on insurance coverage, demographics, government response, quality of rebuilds, and location desirability.
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