Auction market stoic in the face of lockdowns

The auction market has swept aside lockdowns, with the final national clearance rate rising to 77.2% from 73.0% last weekend off similar volumes (1,761 versus to 1,728).

As shown in the next table, Sydney’s auction market is proving especially stoic, with the city’s final clearance rate rising to 76.1% from 72.8% the prior weekend. This was off 671 auctions – up from 585 auctions the prior weekend.

Melbourne’s auction clearance rate also rebounded after emerging from its hard lockdown, recording a final clearance rate of 77.2%, up from the 70.8% recorded the previous weekend. However, this was off only 656 auctions – down from 772 auctions the prior weekend.

Auction clearances were solid to strong across the smaller markets, with the exception of Perth:

Auctions

Auctions rebound.

Nevertheless, the national auction clearance rate has retraced sharply from March’s peak, albeit remains at a high level from a historical perspective:

Auctions

Down from peak, but still strong.

Based on historical correlations, this points to slowing price growth over coming months:

Auctions versus prices.

Prices to slow.

This weekend there are 1,860 auctions scheduled to take place across the capital cities:

Forthcoming auctions

Forthcoming auctions.

These are solid volumes given the circumstances.

Unconventional Economist
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