A bungalow in Dorset described as "grotty" has defied the credit crunch and sold for double its asking price at auction, it has been reported.

Ross Willmington, from estate agents Symonds and Sampson, told thelondonpaper.com: "It''s a pretty grotty bungalow, it''s simply location, location. It sits high above the Cobb looking over everybody''s rooftops with totally uninterrupted views of Lyme Bay, the Cobb and the harbour."

The timber-framed house has three bedrooms and is near the 13th century sea wall which appeared in the film the French Lieutenant''s Woman, the website states.

West Dorset district council paid £335,000 for a pair of bungalows at Marine Parade as it needed to carry out essential work on the land beneath them.

It said the money raised would offset the cost of the conservation process, the news provider states.

The Independent reports that the obvious advantage of buying a property at auction is the potential to pick up a bargain.

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