Auction Market Preview - 13 August 2017
This week, across the combined capital cities auction activity is expected to remain relatively sedate, with the number of auctions scheduled increasing by only 0.5 per cent when compared to last week’s final figures (1,857). There are 1,867 capital city auctions currently being tracked by CoreLogic, with volumes set to be higher than what was seen one year ago (1,471). Over the past six week’s auction volumes have been consistently tracking higher than what was seen over the same week’s during the July- Aug period last year.
Across the two largest auction markets, Melbourne is likely to see a fall in auction activity week-on-week, with 880 homes scheduled to go to auction this week, down from the 911 auctions held last week, while Sydney’s volumes are expected to increase by 19.0 per cent over the week, with 738 auctions to be held across the city, rising from last week’s 620 auctions.
Activity across the remaining capital cities this week will be varied, with Adelaide scheduled to see a higher volume of auctions this week, while in Tasmania volumes will remain unchanged, and Brisbane, Canberra and Perth will see fewer auctions this week.
This week, Reservoir is the busiest suburb for auctions, with 17 homes scheduled to go under the hammer, followed by Kew and Pascoe Vale both with 13 auctions each and Craigieburn set to host 12 auctions, all of the busiest suburbs for auctions this week are in Victoria.
Summary of Last Week's results
The final auction clearance rate fell last week across the combined capital cities, with 68.2 per cent of the 1,857 auctions successful, down from the week prior when a 68.7 per cent clearance rate was recorded across a slightly higher volume of auctions (1,987). Since the beginning of June clearance rates have been below 70 per cent, however they have consistently remained within the high 60 per cent range, while auction volumes have been relatively consistent since the beginning of July. Looking at the same period last year, the clearance rate was a higher 72.5 per cent, while volumes were considerably lower (1,540).
Across Sydney, the final auction clearance rate increased last week to 66.4 per cent, after the week prior saw the final clearance rate drop to its lowest level this year (65.4 per cent). In Melbourne, the final clearance rate fell last week, recording a 73.9 per cent rate of clearance from 75.6 per cent the previous week, however clearance rates for the city continue to maintain strength relative to Sydney. Auction volumes were lower across both markets last week, with 911 auctions held in Melbourne, down from 956 the week prior, while Sydney hosted 620 auctions last week, decreasing from 714 over the previous week.
Across the smaller capital cities, Perth and Tasmania’s clearance rate improved last week, while Adelaide, Brisbane and Canberra saw a fall in clearance rates.
Geelong recorded the highest clearance rate of all the non- capital city regions last week, with 73.3 per cent of the 32 auction clearing, while the Gold Coast recorded the highest volume of auctions last week (36), however the clearance rate for the region was the lowest (39.3 per cent).