Auction clearance rates rose slightly over the weekend, driven by gains in Sydney, although the trend in auctions is pointing to softening buyer demand.
According to RP Data, the weighted average auction clearance rate rose to 66.3% from 64.0% the week before, driven by a 3.7% increase in Sydney (last weekend 72.0%), whereas Melbourne’s clearance rate was broadly flat (63.7% this weekend versus 63.6% last weekend). However, last weekend’s auctions volumes (859 nationally) were held down by the Anzac Day long weekend, which makes direct comparisons difficult.
Nevertheless, the trend in auctions does point to moderating buyer demand, with clearance rates nationally falling materially over the past six weeks back to levels commensurate with this time last year:
The other data providers produced better results but on much smaller samples.
The Real Estate Institute of Victoria (REIV) reported a preliminary clearance rate of 70% on 704 recorded auctions, whereas for Sydney, APM reported a clearance rate of 77% on 406 reported auctions.
