Martin North from Digital Finance Analytics talks mortgage statistics with FreshCanvas. They argue that auction clearance rates can be manipulated and of questionable reliability.
My view is that CoreLogic’s series, whose sample is much more robust than Domain’s, is the best short-term indicator for house prices. And this is reflected in the strong correlation between the auction clearance rate and dwelling price growth, with auction clearances typically leading:
They may not be perfect, but auction clearances are the best immediate indicator for house prices that we have.
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