Another dilapidated Surry Hills terrace hits the market for $1.5 million

A sweeping trend across Sydney's inner east suburbs is the sale of dilapidated terraces.

In need of full renovations of at least a couple of hundred thousand dollars, the homes are still fetching $1.5 million plus.

The latest to hit the market is a terrace on Reservoir Street that hasn't traded in over three decades.

Last sold for $85,000 in 1985, the three level terrace isn't completely run down.

A transformation had begun but was never finished, so there are newer elements to the attic and staircase.

BresicWhitney Darlinghurst agents Lincoln Westerman and William Phillips have set a buyers guide of $1.5 million for its November 18 auction.

Last month another Surry Hills terrace, in a state of almost disrepair with missing ceilings, sold for $1.6 million in five days.