The Sydney home auction market has strengthened over recent weekends, despite the distractions of the federal election and the continuing uncertainty over the final result.
Sydney recorded a clearance rate of 75.4 per cent, which was higher than the previous weekend’s 73.5 per cent, but well below the boom-time 80 per cent reported on the same weekend last year.
Relatively low auction numbers continue to characterise the Sydney market, with the strong competition amongst buyers for a smaller pool of available properties becoming a significant driver of robust clearance rates.
Just 419 auctions were listed on Saturday, which was well below the 605 auctioned over the same weekend last year.
Predictably, it was well ahead of the 200 auctioned over election day the previous weekend.
The most expensive property reported sold at auction at the weekend was a four-bedroom home at 17 Firth Avenue, Strathfield, which sold for $4,120,000 by Georges Ellis and Co.
The most affordable property reported sold at the weekend was a two-bedroom unit at 1/61 Howarth Street, Wyong, which sold for $280,000 by LJ Hooker Wyong.
Sydney recorded a median auction price of $1,045,500 on Saturday, which was lower than the $1.1 million recorded last weekend.
Saturday’s median was 7.5 per cent higher than the $972,500 recorded over the same weekend last year.
A total of $228.5 million was reported sold at auction in Sydney at the weekend.
The Sydney home auction market continues to record healthy results for sellers with strong buyer competition for scarce listings in most regions and price-ranges.
Lower auction numbers will continue to characterise the market over coming weekends, with just over 300 auctions expected next weekend — around half the number auctioned over the same weekend last year.
Low and falling interest rates continue to support buyer and seller confidence with strong competition amongst banks for mortgage customers also driving housing demand.
Although the Reserve Bank has decided to leave interest rates on hold over July at the record low 1.75 per cent, the odds have certainly narrowed for a cut sooner rather than later and perhaps as soon as next month.
The June quarter inflation data due to be released by the Australian Bureau of Statistics on July 27 will provide a key determinant of future rate settings, with another low result likely to activate the Bank.
Political uncertainly both locally and internationally can only add to the case for more stimulus, given a clearly underperforming national economy.
For a full list of the Sydney auction results Click here