Another Very Local Auction

The house 2 doors away from us was auctioned today. It sold for $801,000 (AUD). Initially it passed in at $785,000 after one bid at that level after the auctioneer made a bid at $780k but then there was a negotiation with the highest bidder. The house plan is identical to ours. The main difference is that it is wedged between two other houses - side windows are frosted glass, while our house has open land or the street on all but one side. We have a much better view as a result. Our backyard is a bit less deep and our front yard longer. The presentation of this house is better than the current state of our house. I reckon we might need more than $10k to bring it up to standard. The original selling price was for some reason $10k more than our house. When I add this new sale into my model of the value of our house based on sales in this development since we bought, it only increases the carrying value of our house by $2,000 to $777k. I think this is a good conservative value for our house.