Clearance rates continue to track at their highest since winter last year however stern challenges remain with a mountain of Saturday listings set to deluge the market in a fortnight.
Low interest rates are a key catalyst of continuing solid housing market activity in Melbourne with the Reserve Bank deciding last week to again leave rates on hold over March.
Rates have now been steady at the record low 2 per cent for 10 consecutive months although the prospect remains for a near term cut.
But the recent intensification of the political debate around proposed changes to property taxes – particularly negative gearing by investors – may impact buyer and seller sentiment concerned about predictions of sharply falling house prices.
Melbourne reported a clearance rate of 75.8 per cent on Saturday which was higher than 75.3 per cent recorded the previous weekend and also higher than the 74.9 per cent recorded over the same weekend last year.
Last year’s results however were affected by typically low numbers of auctions conducted over the Labour Day holiday weekend which this year is scheduled a week later next weekend.
The Melbourne property market was tested by another weekend of high auction numbers with 1152 homes listed to go under the hammer on Saturday – just below the previous weekend’s 1212 offerings.
Regional auction results in Melbourne at the weekend were again remarkably consistent with the inner city the only rate below 70 per cent.
The top performer was the south east with 82.7 per cent followed by the north east at 78.7 per cent, the inner south at 78.6 per cent, the inner east at 78.5 per cent and the north at 76.4 per cent.
Lagging behind was the west with a clearance rate of 76.2 per cent followed by the outer east at 71.2 per cent and the inner city at 68.9 per cent.