Glebe’s home, known as the “doll’s house,” sells for $1.3 million despite having just 60 square feet of living space

A two-storey townhouse in Sydney with just 60 square meters of living space has sold for $1.3 million.

The two-bedroom home in Sydney’s inner-western suburb of Glebe is about 9 feet (2.8 meters) wide, and real estate agent Renae Dickey said it was affectionately dubbed the Doll’s House by its previous owner.

“It was probably the smallest house in the inner west,” Dickey told 7NEWS.com.au.

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Despite its size, built on just 41 square meters of land, around 100 groups had expressed interest in the house and it was eventually sold to a young couple looking for their first home.

Dickey said the sale went better than expected, most likely due to the house’s ideal location close to the harbour, Sydney Fish Market and transport.

It also boasted beautiful city views from the upstairs bedroom and had an open plan kitchen, high ceilings and was in good condition.

“It’s so cute and small. It looked like a doll’s house. It’s so pretty from the street and it’s tiny,” Dickey said.

She said the real estate market for homes in Sydney, particularly in the $1,000,000 to $1,500,000 million range, is “very popular”.

“A lot of buyers are trying to buy into the market and buy up to $1.5 million,” she said.

Earlier this year the NSW Government announced that first-time buyers could pay an annual property tax instead of paying stamp duty up front on their first home.

It was estimated that about 8,500 people in the state would choose to pay the annual tax, reducing the amount of cash they would have to pay along with a bail.