Auction clearances ease

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By Leith van Onselen

Reported auction clearance rates in Australia’s two biggest markets were solid over the weekend.

In Australia’s biggest auction market – Melbourne – the preliminary clearance rate was 71% on 712 auctions reported to the REIV, although 80 auctions were listed as “no result”, meaning there could be some downward revision once late results are chased-up (see below table).

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There was no official auction clearance rate recorded last weekend or the same weekend last year due to the AFL Grand Final, which meant that only a very small number of homes went under the hammer. However, the weekend’s auction clearance rate of 71% was well below that recorded a fortnight ago, when a preliminary clearance rate of 78% was reported on 837 auctions.

By way of comparison, RP Data’s auction results for Melbourne were virtually identical, with 71.4% of auctions clearing on 865 reported auctions (i.e. a bigger sample than the REIV).

Sydney’s preliminary auction clearance rates were stronger. Clearance rates were reported as:

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  • 80.1% by RP Data versus 81.4% last weekend; and
  • 82% by APM versus 82% last weekend.

Residex has yet to report its Sydney auction results for the weekend just gone.

Auction results for the other capitals are shown below, via RP data:

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.