Preliminary Auction Clearance Rate Remains Below 70% While Activity Holds Firm
The combined capital cities returned a preliminary auction clearance rate of 69.4 per cent this week, marking the 21st consecutive week where the clearance rate has held below 70 per cent. The trend towards softer auction market conditions has been led by the Sydney market where the final auction clearance rate has remained below 65% since the first week of October. Auction volumes were similar week-on-week, with 2,471 properties taken to auction, compared to 2,525 last week. This time last year, 2,680 homes were taken to auction and a clearance rate of 78.1 per cent was recorded. Tasmania, the smallest auction market, recorded the highest preliminary clearance rate with 80.0 per cent of the 5 reported auctions recording a successful result, followed by Melbourne with a preliminary clearance rate of 73.3 per cent across 1,030 results.
Across Melbourne, preliminary results show that 73.3 per cent of the 1,030 reported auctions sold this week. There were 1,224 properties taken to auction across the city, up from 1,223 last week when the final clearance rate was recorded at 73.2 per cent. Over the same week last year, 1,377 auctions were held and a clearance rate of 80.6 per cent was recorded. The Inner region of Melbourne had the highest number of auctions this week (210), with a preliminary clearance rate of 70.6 per cent. However, the strongest rate of clearance was recorded across the North West region, where 82.4 per cent of the 108 reported auctions were successful. 7 of the 9 sub-regions recorded clearance rates above 70.0 per cent.
Sydney was host to 806 auctions this week and a preliminary clearance rate of 68.8 per cent was recorded, rising from 63.3 per cent last week across 928 auctions. One year ago, 897 auctions were held across Sydney and 82.6 per cent were successful. Looking at the sub-regions of Sydney, 5 of the 15 sub-regions recorded clearance rates above 70.0 per cent with the stand outs being the Northern Beaches (83.1 per cent), Eastern Suburbs (78.4 per cent), City and Inner South (78.2 per cent) and North Sydney and Hornsby (74.4 per cent) regions. North Sydney and Hornsby was the busiest Sydney sub-region this week with 117 homes taken to auction.
The preliminary clearance rate in Brisbane this week rose to 51.5 per cent, from 46.1 per cent last week. Auction volumes were unchanged week-on-week with 171 homes taken to auction, while this time last year 191 auctions were held. Meanwhile, across the Gold Coast, 57.1 per cent of the 21 reported auctions were successful.
In Adelaide, a 66.1 per cent preliminary result was recorded this week across 147 auctions. Last week, 93 Adelaide auctions returned a clearance rate of 65.9 per cent for the city, while at the same time last year, 100 homes were taken to auction, with 71.3 per cent recording a successful result.
Perth’s clearance rate of 50.0 per cent across 20 auction results is down from last week, when 42 auctions were held and a clearance rate of 54.8 per cent was recorded. Over the same week last year, the clearance rate was a lower 44.8 per cent, and 34 auctions were held.
Across Canberra, 72 homes were taken to auction this week. Preliminary results show a clearance rate of 68.3 per cent, down from 72.2 per cent the previous week.
Tasmania was host to 8 auctions this week and so far 5 results have been reported, returning a preliminary clearance rate of 80.0 per cent.