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National Auction Market Preview - 14 December 2017

Author: Jade Harling and Kevin Brogan
Source: CoreLogic

Upcoming auctions

CoreLogic is currently tracking 2,666 scheduled auctions across the combined capital cities over the last week for auction reporting for 2017.  This is lower than last week’s final results which saw 3,371 auctions held and also lower than the 2,735 held over the corresponding week last year.

Week-on-week activity across Melbourne and Sydney is set to fall as the end of year fast approaches, with 1,514 Melbourne homes scheduled to go to auction this week, down from the 1,833 auctions held last week. Last week was the second busiest week for auctions this year across the city.

In Sydney, there are 664 scheduled auctions this week, decreasing from the 1,007 auctions held last week.

Volumes are also expected to fall across the smaller capital cities this week, with the exception of Canberra where the number of scheduled auctions is slightly higher.

All of the busiest suburbs for auctions this week are in Victoria, topping the list with 32 residential homes set to go under the hammer is Reservoir. Followed by Craigieburn (27), Epping (23), and Frankston (23).

Summary of Last Week’s results

The combined capital city final auction clearance rate dropped below 60 per cent for the first time since late 2015/ early 2016 last week, returning a 59.5 per cent rate of clearance across a higher volume of auctions week-on-week.  There were a total of 3,371 auctions held across the cities, increasing on the 3,291 auctions over the week prior when 60.3 per cent cleared. One year ago, a significantly higher 71.6 per cent clearance rate was recorded across a higher volume of auctions (3,432).

Melbourne’s final auction clearance rate last week was unchanged from the week prior, when the city recorded the lowest clearance rate since June 2016 (65.4 per cent). However, volumes across the city reached their second highest level this year, with 1,833 held, up from the 1,647 auctions held the previous week.

Across Sydney, the final clearance rate fell to 52.0 per cent last week, this is the lowest seen since the first auction week of 2016 when volumes were very low.  Prior to that, you would have to go back to December 2012 to see clearance rates so low.  The clearance rate last week was down from the 56.2 per cent the week prior. There were 1,007 auctions held across the city last week, down from the 1,143 held over the week prior.

Across the smaller auction markets, clearance rates improved in Adelaide and Brisbane, while Canberra, Perth and Tasmania’s final clearance rate fell.

The Gold Coast region was the busiest non-capital city region last week, with 121 auctions, however Geelong recorded the strongest clearance rate at 82.6%.

 


Kevin Brogan
National Auction Market Commentator,CoreLogic

Jade Harling
Senior Research Analyst, CoreLogic