The Sydney home auction market recorded another encouraging result on Saturday, with early-season indications of a revival in buyer activity now consolidating.
Sydney recorded a clearance rate of 74.3 per cent at the weekend, which was ahead of the previous weekend’s 72.5 per cent and the best result since September 2015.
However, it remains well below the boom-time 83.3 per cent recorded during the same weekend in 2015.
The weekend result was achieved despite a significant increase in listings, with 358 homes auctioned – well ahead of the 217 listed the previous weekend.
Regional results were reasonably balanced at the weekend, although the north-west continues to underperform compared with the rest.
The inner west produced a strong result at 85.4 per cent, with the highest number of sales at 41.
Next highest was the upper north shore with 81.6 per cent, followed by the lower north and the south-west, each with 80 per cent, the city and east 77.1 per cent, the central coast 76.9 per cent, the northern beaches 67.9 per cent, the south 66.7 per cent, the west 62.5 per cent, Canterbury Bankstown 60 per cent and the north-west with a clearance rate of just 41.7 per cent.
The most expensive property reported sold at auction at the weekend was a four-bedroom home at 50 Nelson Road, Lindfield, sold for $3.63 million by Chadwick Real Estate.
The most affordable property reported sold at the weekend was a one-bedroom unit at 46/93-95 Campbell Street, Liverpool, sold for $395,000 by Ray White Wetherill Park.
Sydney recorded a median auction price of $1,041,500 on Saturday, which was higher than the previous weekend’s $991,000 and reflected the higher proportion of inner suburban auctions sold.
Saturday’s median remained 13.3 per cent higher than the $919,000 recorded during the same weekend in 2015.
Early-season auction results can be volatile as a consequence of relatively low numbers of listings and an unbalanced mix of property types, price ranges and suburban regions.
Saturday’s auction numbers, although well ahead of the previous weekend, nonetheless remained well below the same weekend in 2015.
Listings are down by 30 per cent, or 253, over the first three weekends of the season, compared with the same period in 2015.
This trend is set to continue over coming weekends, indicating some wariness from sellers in the market.
Saturday’s clearance rate has, however, built on the previous weekend’s solid result and, with significantly higher listings, is a clear sign the Syndey market might be reviving, after last year’s sharp fade-out in activity.
Sydney’s housing market correction phase was always likely to be short-lived, given the strength of the local underlying supply-and-demand fundamentals.
Although it is early days and challenges remain, the latest results will boost the confidence of both buyers and sellers.
Well over 500 auctions will present another significant test next weekend, but certainly so far so good for a Sydney housing market on the upswing.
For a full list of Sydney auction results, click here.