Auction Volumes Remain High Across The Combined Capital Cities
This week across the combined capital cities, auction volumes remained high with 3,353 homes taken to auction returning a preliminary clearance rate of 63.1 per cent, increasing from last week when the final clearance rate across the capitals recorded the lowest not only this year, but the lowest reading since late 2015/ early 2016 (60.3 per cent). The lower weighted clearance rates of late can be attributed to the continual softening conditions across the two largest markets of Melbourne and Sydney, with clearance rates tracking below 70 per cent across Melbourne for 5 consecutive week’s now (67.4 per cent), however volumes across the city have been consistently higher; with volumes this week reaching their second highest level this year (1,837), while Sydney’s clearance rates have tracked around the mid-high 50 per cent range over 7 consecutive week’s (58.7 per cent). Across the smaller markets, Canberra recorded the highest preliminary clearance rate this week, with 66.7 per cent of homes selling, while Brisbane returned the lowest with only 46.6 per cent of auctions successful.
In Melbourne, a 67.4 per cent preliminary clearance rate was recorded across the second busiest week for auctions this year, with 1,837 held, up from 1,647 auctions last week when the final auction clearance rate fell to its lowest seen since June 2016 when only 65.4 per cent cleared. One year ago there were 1,685 auctions held, with a notably higher clearance rate (78.4 per cent). The Inner region of Melbourne had the highest number of auctions this week (304), with a preliminary clearance rate of 67.3 per cent. Meanwhile, the strongest clearance rate was recorded across the North West region, where 74.4 per cent of the 182 auctions held sold.
Sydney’s preliminary clearance rate this week was 58.7 per cent, across a total of 990 auctions held, increasing on last week’s final clearance rate of 56.2 per cent when 1,143 auctions were held. Over the same week last year, 1,163 auctions were held across Sydney and a clearance rate of 73.7 per cent was recorded. North Sydney and Hornsby hosted the most auctions of any Sydney sub-region this week, with 145 properties taken to auction. The preliminary clearance rate for the region is 61.5 per cent across 109 results.
There were 183 Brisbane homes taken to auction this week, with 131 results reported so far. The preliminary clearance rate for the city is 46.6 per cent, up from 42.8 per cent last week and higher than one year ago, when 43.5 per cent of the 206 properties taken to auction were successful. Across the Gold Coast 83 results have been reported so far, with a success rate of 37.4 per cent.
A total of 163 Adelaide homes were taken to auction this week, returning a preliminary clearance rate of 65.0 per cent across 120 results, up from 59.1 per cent last week when 144 auctions were held across the city.
Perth’s clearance rate of 46.7 per cent across 62 auctions is up from the previous week, when 50 auctions were held and a clearance rate of 32.6 per cent was recorded. Over the same week last year, the clearance rate was a lower 20.0 per cent, and 76 auctions were held.
In Canberra, 106 auctions were held this week, and of the 84 reported results, 66.7 per cent were successful. Last week, only 102 auctions were held and the clearance rate was a higher 71.6 per cent. This time last year, results were similar with 118 auctions held and a clearance rate of 60.8 per cent.
In Tasmania, 12 auctions were reported to CoreLogic with 5 sales.
National Auction Market Commentator,CoreLogic
Senior Research Analyst, CoreLogic