Housing sales activity slumped during the housing downturn, however the recent trend shows turnover has levelled out as home values rise and mortgage rates reach the lowest level since the 1950’s.
The combined capital cities are expecting 40 per cent fewer homes taken to auction this week, with the AFL grand final being held over the weekend, it looks to be a quiet week for auctions across Melbourne, contributing to the overall lower activity.
Almost nine in 10 properties (87.1 per cent) resold in the June quarter made a profit for the seller, according to CoreLogic’s latest Pain and Gain Report, which provides a view of how resold properties are performing across Australia.
There were just under 2,000 capital city homes taken to auction this week; an increase in volumes of 21% over the week (1,639 last week).
The Australian Bureau of Statistics (ABS) recently published the March 2019 quarter demographic data. The data showed that at the end of the first quarter of 2019 the estimated residential population of the country was 25,287,394 persons, which was 0.5% higher over the quarter and 1.6% higher year-on-year.
The latest quarterly property exposures data from APRA shows that authorised deposit-taking institutions (ADIs) are writing comparatively fewer risky loans although there has been a slight rise over the June 2019 quarter.
Auction activity across the combined capital cities is expected to increase this week, with 1,866 homes set to go under the hammer, up on last week’s final figure which saw 1,639 auctions held.
The latest housing finance data from the ABS is showing that demand for mortgages is rising and this rise is most evident in NSW and Vic where capital city dwelling values are now rising.
The number of homes taken to auction across the combined capital cities increased to 1,633 this week returning a preliminary clearance rate of 75.7 per cent.
The latest CoreLogic Quarterly Regional Market Update (June 2019), which tracks sales volumes and dwelling values across 11 of Australia’s regional hubs, shows that sales activity has fallen across all regions over the last 12 months.
Auction volumes are set to remain relatively steady over the week, with 1,515 capital city homes scheduled for auction, only 1.2% fewer auctions on final figures from last week (1,533).
There were 1,529 homes taken to auction across the combined capital cities this week, returning a preliminary clearance rate of 77 per cent. Over the previous week, auction volumes were slightly higher with 1,615 homes taken to auction, while the final clearance rate came in at 70 per cent.