Listed for $900,000 above its 2021 asking price, the 'near-original' 1920s home at 1 Thompson St Tamarama is in largely unchanged condition.

The listing sold for $7.9 million in November 2021, but pictures of the interior of the home in its current condition were omitted from the listing.

The homeowner has since received DA approval to build a new home on the site.

Pictures of the home show a weathered wooden balcony at the rear of the home and the original dark brick exterior.

The listing says the property is "ripe for inspiring regeneration or redevelopment".

It says: There are few opportunities for a 'blank canvas' in such a large neighbourhood in such a location.

Sales records show the home sold for $2.96 million 10 years ago.

The listing also includes plans approved by the Department of Land Revenue and an artistic impression of the proposed home.

The property is listed by D'Leanne Lewis, principal of Laing + Simmons Double Bay, which markets the property as a "blank canvas" for the ultimate utilitarian.

The home currently has three bedrooms, one bathroom and room for two cars.

The listing information states that "this is a great opportunity with views overlooking Tamarama and the Pacific Ocean" and shows "potential views" if the new owner builds a three-story home.

Proximity to the beach and local cuisine are also selling points for the property, which the listing information describes as a "timeless address."

The Tamarama residence is a detached old brick bungalow on a 402 square metre site facing north and east.