Auction clearance rates were strong once again this weekend, though Melbourne’s results were a little lower than prior to Easter.
This weekend 1,909 properties were taken to auction
All our capital cities delivered strong auction clearance rates with Canberra again being the stand-out performer with a preliminary auction clearance rate of 94%.
Other preliminary clearance rates (as reported by RealEstate.com.au) were:-
- Adelaide – 88%
- Sydney – 87%
- Melbourne – 82%
- Brisbane – 77%
Today’s combined capital city preliminary auction clearance rate was recorded at 79.3% across 1,390 auction results reported so far.
When auction clearance rates consistently remain near 80% it means there are more buyers than sellers in the market and this eventually leads to higher property prices, and that’s clearly what’s happening around Australia as FOMO (fear of missing out) seems rampant in our housing markets.
This time last year saw a final national clearance rate of 26.9% when only 129 properties were taken to auction as the Coronavirus lockdowns commenced.
The Harbour City was host to 785 auctions this weekend, significantly less than in the weeks leading up to Easter but the ongoing strong auction clearance rates show the depth of the buyer demand.
Of the 588 Sydney auction results collected so far this weekend, 489 have returned a successful sale, a sign of the firm Sydney auction market.
The preliminary Sydney auction clearance rate of 83.2% will be revised lower to around the high 70%’s as the remaining auction results are collected.
Realestate.com.au reported that there were also 1,183 private sales in New South Wales over the last week; fewer than in the weeks leading up to Easter (1,624 and 1,630)
The following chart form Dr. Andrew Wilson of My Housing markets shows the Sydney auction trend:
Dr Wilson commented:
The Sydney housing market delivered another strong weekend for sellers although the auction clearance rate was the lowest recorded over autumn so far.
Auction numbers remained reasonably strong however with 785 listings which, although well down from the record of 1227 auctioned over the super Saturday a fortnight ago, was nonetheless significantly higher than the Easter resumption of previous years.
In Melbourne 1,593 properties were scheduled for auction this week, significantly more than last weekend’s 1,123.
Of the 1,247 Melbourne auctions reported so far, 1013 were successfully sold.
The preliminary Melbourne auction clearance rate of 81.2% will be revised lower to around the mid to high 70%’s as the remaining auction results are collected.
Last week, a final clearance rate of 77.3% was recorded for Melbourne.
Realestate.com.au reported that there were also 1,220 private sales in Victoria this week; fewer than in the weeks leading up to Easter (1,455 and 1,391)
The following chart from Dr. Andrew Wilson of My Housing markets shows the long term trend of Melbourne’s auction market:
Dr. Wilson commented:
The Melbourne weekend home auction market recorded the lowest Saturday clearance rate for the year so far, following the resumption of activity from last weekend’s Easter holiday break.
905 homes were listed for auction on Saturday which was well below the 1593 auctioned over the super Saturday a fortnight ago, but higher than the Easter resumption of previous years.
Here are the preliminary auction clearance rates as reported by RealEstate.com.au
As always these will be lower by mid week when the auction results that are not yet reported are taken into account.
Clearly all the auction markets around Australia were very strong this weekend.
The following chart from NAB and Corelogic shows the long-term auction clearance rate trend for our combined capital cities.
Now is the time to take advantage of the opportunities that will present themselves as the market moves on
There is no doubt that our property markets are going to remain strong as the year unfolds but, as always, some properties will outperform others.
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