The Melbourne market recorded yet another sturdy auction result for sellers despite hosting a record April day for auction activity.
High auction numbers were no barrier to the market, with 1263 homes listed to go under the hammer.
That number was well ahead of last weekend’s 494, and also higher than the 974 listed over the same weekend last year.
This weekend’s auction offering was the highest recorded for an April Saturday with the previous peak of 1247 recorded on April 4, 2014.
Melbourne reported a clearance rate of 75 per cent on Saturday which was just ahead of the 74.7 per cent recorded the previous weekend, but well below last year’s boom-time rate of 82 per cent recorded over the same weekend.
The Melbourne rate was close to the weekend average recorded this year so far of 75.4 per cent from a market that continues to produce remarkably consistent results.
Results in Melbourne’s suburban regions were also remarkably consistent with the outer east recording the highest clearance rate at 80 per cent.
Next highest was the north-east with 77.5 per cent followed by the inner south with 75.9 per cent and the highest number of sales at 145, the north 75.3 per cent, the inner city 74.3 per cent, the south-east and the west each with 74.1 per cent and the inner east with a clearance rate at the weekend of 71.9 per cent.
The most expensive property reported sold at auction was a five-bedroom home at 16 Barnsbury Road, Balwyn, which was sold for $6,360,000 by Jellis Craig.
The most affordable property reported sold at the weekend was a one-bedroom unit at 19/132 Rupert Street West Footscray for $202,000 by Jas Stephens Real Estate.
Melbourne recorded a median auction price of $795,000 on Saturday which was higher than the $710,000 recorded the weekend before.
Saturday’s median was 4.1 per cent higher than the $760,000 recorded over the same weekend last year.
A total of $569.5m was reported sold at auction in Melbourne at the weekend.
The Melbourne housing market continues to produce robust, resilient results across most prices ranges regions and buyer types.
All eyes will be on the federal budget announcement this week, with housing markets sensitive to outcomes in regard to spending initiatives or possible public service job and service cuts, and changes to taxation policy.
Tuesday’s Budget announcement will coincide with the monthly decision on official interest rates settings from the Reserve Bank with the case clearly growing for a cut.
The peak of the home building cycle appears to have passed and concerns regarding overheating housing markets are now clearly fanciful, with Sydney house prices falling sharply over the past six months.
Although the jobless rate has improved recently, this measure tends to be a lagging indicator of economic health and recent improvements have largely come from increases in part-time work.
Latest weak inflation data clearly reflects a stagnating economy.
The Reserve Bank may cut rates on Tuesday in a bid to support a weakening economy.
This would be a pre-emptive strike before the banks universally raise them.
If it does, it would avoid the distraction of the election campaign, to begin in earnest once Treasurer Scott Morrison hands down his Budget on Tuesday.
For a full list of the Melbourne auction results click here