Final auction clearance rate surges to mid-70s

Last weekend, CoreLogic released its preliminary auction clearance rates, which revealed the following results:

Today, CoreLogic has released its final auction results, which reported a 3.8% decline in the final national auction clearance rate to 73.5% – well above the same weekend last year (47.0%) and above last week’s 67.6%:

As you can see, Sydney’s final auction clearance rate was 5.4% lower than the preliminary reported rate, whereas Melbourne’s was 1.5% lower. However, both were in the mid-70s and tower above last year’s 45.1% (Sydney) and 50.4% (Melbourne).

The chart below shows the strong bounce in auction clearance rates nationally:

The below charts plot the trend increase in final clearances in Sydney and Melbourne against dwelling value growth, which points to strong price rises:

However, this is tempered by the sharp fall in auction volumes, which are running well below boom time levels:

Thus, it remains a ‘thin’ market that is not as strong as it appears.

Leith van Onselen

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