Sydney’s lower north shore achieved a remarkable boom-time result over the weekend – outpacing the rest of the Sydney market.
The region produced the first suburban regional clearance rate above 80 per cent for a month, with a remarkable result of 80.4 per cent.
That’s up from last week’s result for the lower north shore, which was 76.6 per cent.
Despite this, the overall auction market fell again with no sign of an end to the steep slide of recent weeks and it’s only expected to get worse.
The most expensive home sold at auction at the weekend was 141A Tennyson Road, Tennyson Point.
The multi-speed Sydney auction market was evident again on Saturday, with widely divergent regional results.
Inner-city higher-priced regions continue to record strong results for sellers
However, buyer activity in the western regions of Sydney has all but disappeared.
While the lower north shore boomed, the next best performing region fell far behind.
The city and east cleared 71.9 per cent, closely followed by the inner west 71.7 per cent, then a gap to the upper north shore 62 per cent, the northern beaches 60.5 per cent, the south 58 per cent, then several regions well below 50 per cent, including Canterbury Bankstown 45.2 per cent, the central coast and the north-west each with 41.1 per cent, the south-west 35.7 per cent, and the west 34.5 per cent.
The two properties up for auction in the Blue Mountains failed to sell under the hammer.
Low and falling clearance rates in most regions will again be tested by a mountain of auction listings looming next weekend.
Sydney reported an auction clearance rate of 57.5 per cent on Saturday, which was well down on the previous weekend’s 62.6 per cent result and the 73.5 per cent recorded during the same weekend in 2014.
Saturday’s result was the lowest recorded by the local market since the spring of 2012, three years ago, with falling buyer confidence now an emerging driver of declining activity levels.
High auction numbers remain a characteristic of the Sydney market, with 872 homes listed at the weekend, lower than the previous weekend’s 940 auctions and also slightly below the 874 conducted during the same weekend in 2014.
The Sydney home auction market will finish spring with well over 1000 homes scheduled to go under the hammer next weekend.
This will be a record November day for auctions and will also conclude a record November and a record spring for the number of auctions listed in Sydney.
Trend weekend auction prices in Sydney fell at the weekend, down from the previous weekend’s $1,176,750 to $1,161,500, but they remain 15.5 per cent higher than the $1,005,750 trend recorded during the same weekend in 2014.
With just four weekends remaining until the Christmas shutdown, Sydney home sellers will be increasingly pessimistic about the prospects of a sale in a market that has generally collapsed over the spring selling season.
Clearances rates have fallen sharply since the announcement by banks a month ago of higher interest rates for owner-occupiers.
Higher rates for residential investors have also affected the Sydney housing market.