Nine years ago, seller Imran Hafda purchased the property at 29 Nicoll St Roselands for A$400,000.

After knocking the house down and rebuilding it in 2020, Mr Hafda is now selling his home for A$2.7 million through Danny Hassen of The Agency.

Mr Hafda's parents originally asked him to buy the original property, which was a small two-bedroom bungalow that had been left untouched.

It now exists as a five-bedroom and three-bathroom luxury home situated on a 565 square metre block.

Although he would not disclose specific figures, Mr Hafda told The Daily Telegraph that he had invested about $1.8 million in the building project through his company, Empcon Building Group.

"I think we've managed to turn it into a beautiful home and my wife and I and the kids really enjoy living there, and our neighbours are lovely."

"I'm looking to sell the property and buy a house on the same street, I think Roselands is a great place to live and I'd love to turn it into a prestigious area with a higher price tag."

"It is often overlooked by the big sales in Beverley Hills and Kingsgrove, so my aim was to set a new record for luxury architecture and give it a fresh look."

The property includes a range of luxury features, with a premium chef's kitchen, a poolside alfresco area and gardens.

It also features a garage and gym with a saltwater pool, as well as an alfresco area with an outdoor barbecue and kitchen.

The Roselands property will go to auction on June 10 and the garage includes space for six cars.

Mr Hassen told the Daily Telegraph that it had received strong levels of demand ahead of the auction.

"We have had about 30 groups come through the property, mainly young families looking to expand.

"Many of the properties in this area offer huge knock-down redevelopment potential and these homes can often be bought for around $1 million and converted into a dream home."

"When you look to the neighbouring suburbs of the Inner West, you're paying about $1 million extra for smaller spaces closer to the city. At Roselands, it's more affordable and you can enjoy a larger lot size."

PropTrack puts the median price in Roselands at $1.25 million, down 2.3 per cent in the past year.

According to the latest PropTrack House Price Index, national house prices continued to stabilise in April, rising by 0.14 per cent after a fourth consecutive month of increases.

The cumulative increase for 2023 now stands at 0.75 per cent. Strong immigration, a tight rental market and limited supply are offsetting the impact of rapid interest rate rises.