Auction clearance rates fell slightly over the weekend in Australia’s two major markets, although volumes were up significantly.
In New South Wales, a provisional auction clearance rate of 58% was recorded from 436 auctions reported to the REINSW. This compares to a provisional clearance rate of 63% recorded last weekend on 392 auctions, and a year-to-date clearance rate of 60%. However, the number of homes auctioned was well below the same weekend of last year when 545 auctions went under the hammer.
In Victoria, a provisional auction clearance rate of 60% was recorded over the weekend on 619 auctions reported to the REIV. This compares to a provisional clearance rate of 61% recorded last weekend on 511 auctions, which was later revised down to a clearance rate of 58%.
Although this weekend’s provisional clearance rate was above the 56% clearance rate recorded in the same weekend of 2011, the number of homes auctioned was lower, with 619 homes going under the hammer over the weekend versus 644 auctions in 2011. The result was also well below the same weekend of 2010, when a clearance rate of 69% was recorded on 754 auctions.
Once again, last week’s auction clearance rates published by the REINSW and REIV – 63% and 61% respectively – were more positive than those reported later in the week by RP Data, where clearance rates of 57% and 55% respectively were recorded for Sydney and Melbourne:
Twitter: Leith van Onselen. Leith is the Chief Economist of Macro Investor, Australia’s independent investment newsletter covering trades, stocks, property and yield. Click for a free 21 day trial.
