Sydney auction market continues to rise with its late winter revival recording a boom-time clearance rate at the weekend of 80.4 %.
This is higher than the 79.1 percent recorded last weekend and the highest rate reported since early April.
The Sydney weekend auction market has clearly been in revival mode over the past 5 weekends with average clearance rate over that period rising to 78.3 percent compared to just 74.1 percent over the previous five-weekend period.
Although auction clearance rates are clearly on the rise, auction listings have flattened over recent weekends.
This weekend 434 auctions were scheduled in Sydney compared to the previous weekend’s 416 and the 404 listed over the same weekend last year.
Sydney’s north west recorded an extraordinary 92.3 percent clearance rate at the weekend as the best performer of all the Sydney suburban regions. This was closely followed by the inner west with 90.7 percent, the south 85.7 percent, the upper north shore 84.3 percent, the city and east 81.8 percent, the northern beaches 81.3 percent and Canterbury Bankstown with a clearance rate of 80 percent.
Standout sales results
In the inner west included a 4 bedroom home at 36 Dorking Road Cabarita sold by Raine and Horne Concord for $2,850,000, a 5 bedroom home at 22 Gelling Avenue Strathfield sold for $1,910,000 by Richardson and Wrench Strathfield, a 3 bedroom unit at 9/128 Lower St Georges Crescent Drummoyne sold for $1,870,000 by Simeon Manners Property and a 3 bedroom home at 51 Long Street Strathfield sold by Bay West Real Estate for $1,735,000.
The most expensive property reported sold:
Was at auction at the weekend was a 3 bedroom home at 12 Euryalus Street Mosman sold for $3,230,000 by Simeon Manners Property.
The most affordable property reported sold at the weekend was a 2 bedroom unit at 8/58 MacDonald Street Lakemba sold for $326,000 by Ray White Croydon.
Auction numbers have fallen in recent weeks and are now tracking closer to the levels recorded over the same period last year following record numbers of offerings over most of the year so far. This indicates the impact of a typical winter market hiatus and is a solid precursor to the usual rising auction activity through spring.
Prospective buyers and sellers will be starting to focus on the spring selling season ahead with a result by the end of the year mind.
Market conditions certainly remain strong with rising clearance rates and still plenty of competition for the dwindling numbers of available properties.
Low interest rates have driven Sydney’s recent strong house price growth with the Reserve Bank deciding last week to again leave interest rates on hold.
Rates have been on hold since August last year and although they will most likely remain unchanged this year, the macro environment has shifted recently to perhaps a downward rates bias.
Much will as usual depend on the nature of the economic data over the coming months which currently remains mixed.
Last week’s ABS July unemployment data was a sobering result for the national economy with the jobless rate rising sharply to 6.4 percent – the highest level for nearly 12 years.
And the New South Wales rate increased from 5.7 percent to 5.9 percent over the month – the highest rate recorded this year by the state but still the lowest rate of all the states with the exception of Western Australia.