The auction clearance rate in Victoria remained just above 60% over the weekend on large volumes, although there were once again a significant number of unreported results that are likely to push the clearance rate lower as late resultsare chased-up.
The Real Estate Institute of Victoria (REIV) reported a provisional auction clearance rate of 61% on 886 results reported to the REIV. This compares to a provisional clearance rate of 64% recorded last weekend on 837 auctions, which was later revised down to 63% once late results were chased-up. With 960 auctions initially planned over the weekend, there are a large number of missing results, which will almost certainly lead to the clearance rate being downgraded as further results arrive.
Although this week’s reported clearance rate is once again a bit rubbery, given the high number of missing results, it is still way above the same weekend of last year, where a clearance rate of only 51% was recorded.
That said, last weekend’s clearance rate of 64% reported by the REIV was well above that published by RP Data later in the week, which recorded a clearance rate of only 58% for Melbourne (albeit on a lower number of auctions). The clearance rate for Sydney was also only 50% on 602 auctions, according to RP Data.
The REIV expects the high auction volumes to continue. Next weekend 970 auctions are expected, followed by 1,010 on the second weekend in December.
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.
