The Sydney home auction market remains on track to break the all-time June record for listings and sales following another robust result at the weekend.
The market returned an auction clearance rate of 75.1 percent down slightly from last weekend’s result of 75.6 percent.
High listing numbers continue to be a characteristic of Sydney’s auction markets with 578 properties going under the hammer at the weekend which was 37.3 percent higher than the 424 auctioned over the same weekend last year.
Activity in Sydney’s auction market has shifted down a gear over recent months with weekend clearance rates averaging 74.7 percent so far over June compared to the 77.6 percent averaged over both May and April, and the 82.3 percent averaged over March.
Auction sales activity nonetheless remains at record levels for this time of the year which is likely to continue for the remainder of the usually quieter winter selling season as low interest rates, rising population and a thriving local economy continue to fuel the market.
Sydney’s prestige regions produced exceptionally strong clearance rates at the weekend to clearly lead the regional results.
Best performed was the northern beaches with a clearance rate of 88.5 percent followed by the city and east with 86 percent, the lower north shore with 83 percent, Canterbury Bankstown with 76.5 percent, the upper north shore with 74.5 percent and the inner west with a weekend clearance rate of 74 percent.
Standout sales results from the northern beaches at the weekend included a 4 bedroom home at 18 Handoub Parade North Curl Curl sold for $2,800,000 by Ray White Freshwater, a 3 bedroom home at 41 Heathcliff Crescent Balgowlah Heights sold by Richardson and Wrench for $1,870,000 Seaforth Balgowlah, a 4 bedroom home at 44 Quirk Road Manly Vale sold for $1,668,000 by LJ Hooker Balgowlah and another 4 bedroom home at 74 Bangaroo Street North Balgowlah sold by Blackleys Real Estate for $1,370,000.
The most expensive property reported sold at auction at the weekend was a 6 bedroom home at 210 Albert Road Strathfield sold for $3,800,000 by Simeon Manners Property.
The most affordable property reported sold at the weekend was a 2 bedroom home at 2/3-5 Canton Beach Road Toukley sold for $270,000 by Raine and Horne Charmhaven.
A strong local economy will continue to underpin incomes and jobs growth which will act to bolster housing market activity through the remainder of 2014.
Although the ABS reported a rise in the Sydney unemployment rate over May from 4.7 percent to 5.1 percent, the local jobs market has nonetheless generated 38,800 jobs since January and still has the lowest unemployment rate of all the states.
Last week’s NSW state budget was also good news for the Sydney housing market with a number of significant transport infrastructure initiatives planned from projected surpluses over coming years.
This financial year’s surplus of $988 million reflects the increase of $938 million in property stamp duty collections resulting from Sydney’s housing boom.
Also driving Sydney buyer activity will be strong population growth with the ABS reporting that the NSW population increased by 1.5 percent or 110,300 persons over 2013 – the best rate of growth recorded by the state since 2009.
Net overseas migration was the main contributor to New South Wales’ population growth, adding 71,400 people over the year.