Auction Clearance Rates Holding Firm, Buoyed by Stronger Results Across the Melbourne and Canberra Housing Markets
There were 2,497 auctions held across the combined capital cities this week, up from 2,318 last week. So far, 2,007 results have been reported to CoreLogic, returning a preliminary clearance rate of 70.6 per cent, increasing from last week when the final clearance rate slipped to 64.4 per cent, the lowest clearance rate since January 2016. While we expect the clearance rate to revise over the next few days as the remaining results are collected, it will be interesting to see how the clearance rate holds up on Thursday when the final figures are released. Over the corresponding week last year, auction volumes were similar, with 2,443 properties taken to auction, while the clearance rate was stronger (76.2 per cent). The highest preliminary clearance rate was recorded in Melbourne this week (74.8 per cent), followed closely by Canberra (74.5 per cent).
Melbourne was host to 1,208 auctions this week and so far, 1,042 results have been reported, returning a preliminary clearance rate of 74.8 per cent, while last week, 1,119 auctions were held and a final clearance rate of 70.3 per cent was recorded. At the same time last year, Melbourne’s clearance rate was 77.7 per cent across 1,182 auctions. Of the Melbourne sub-regions, 6 of the 9 regions recorded clearance rates above 75.0 per cent. Both the Inner South and the North West regions recorded a preliminary clearance rate of 78.8 per cent this week, followed by the Outer East region where 76.7 per cent of auctions cleared. The busiest sub-region for auctions this week was Melbourne’s Inner region where 237 auctions were held.
Sydney’s preliminary auction clearance rate was 69.5 per cent across 916 auctions this week, after last week saw the final clearance rate fall to the lowest level since late 2015/early 2016 (61.3 per cent across 818 auctions), although as usual this is likely to revise lower over the next few days as more results are collected. This time last year, auction volumes were similar with 913 homes taken to auction, although the clearance rate was much stronger (81.4 per cent). There were 6 Sydney sub-regions that recorded an individual clearance rate higher than the city as a whole this week. The Eastern suburbs (81.5 per cent), North Sydney and Hornsby (81.0 per cent) and Northern Beaches (80.7 per cent) had the highest clearance rates.
There were 170 Brisbane homes taken to auction this week, with 130 results reported so far. The preliminary clearance rate for the city is 50.0 per cent, up from 47.8 per cent last week and higher than one year ago, when 44.9 per cent of the 151 properties taken to auction were successful. Across the Gold Coast 34 results have been reported so far, with a success rate of 44.1 per cent.
This week, Adelaide saw a preliminary clearance rate of 68.4 per cent, with 79 reported results across a total of 93 scheduled auctions. In comparison, over the previous week Adelaide’s clearance rate was 61.4 per cent and 62.5 per cent one year ago.
Perth recorded a preliminary clearance rate of 57.9 per cent across 19 reported auctions, compared to last week, when 35 auctions were held and a clearance rate of 43.3 per cent was recorded. Over the same week last year, the clearance rate was 52.0 per cent, and 34 auctions were held.
In Canberra, 74.5 per cent of the 47 reported auction results for Canberra were sold this week, up from 59.5 per cent last week, but lower than last year (82.8 per cent).
There were 4 Tasmanian auctions reported to CoreLogic this week, with 2 sales.