The national auction clearance rate fell sharply over the weekend on the back of falls in Sydney and Melbourne.
According to RP Data, the national weighted average preliminary auction clearance rate was 65.9% over the weekend, which was down 3.8% from the 69.7% preliminary clearance rate reported last weekend. Sydney’s clearance rate fell by 2.1% to 75.5%, whereas Melbourne’s fell to 63.9% (last weekend 70.9%). Brisbane, which typically only has a small number of auctions, experienced a rise in its clearance rate to 35.3% from 32.3% the weekend before. However, overall auction volumes (1,511) were up on last weekend’s 1,467.
The trend in the national clearance rate looks to be topping out, although it remains well above the levels recorded during the 2011 and 2012 housing bear market and slightly above the same time last year (see next chart).
As usual, the other data providers reported stronger results but on smaller samples.
The Real Estate Institute of Victoria reported a preliminary clearance rate of 72% on 611 reported auctions, which compares to the 74% preliminary clearance rate on 456 reported auctions last weekend.
For Sydney, APM reported a preliminary clearance rate of 80% on 338 reported auctions, which compares to the 79% preliminary clearance rate on 310 reported auctions recorded last weekend.
