Auction market awakens from holiday slumber

Last weekend, the nation’s auction market kicked back into gear with 436 auctions held across the combined capital cities and a final clearance rate of 66.0% recorded:

According to CoreLogic:

Traditionally the quietest time of the year, last week’s auction activity was up 78.7% compared to the same time last year (244). Following a record level of auction activity in December, last week’s combined capital clearance rates were up compared to the December average (63.7%) with 66.0% of auctions held returning a successful result…

Melbourne hosted the most auctions last week with 140 homes going under the hammer, up from 44 the week prior and up 10.2% from this time last year (127). Melbourne’s clearance rate was up compared to the week ending 19 December (60.0%) but down compared to the December average (62.8%) with 60.4% of auctions returning a successful result.

Across Sydney, 73 auctions were held last week, up from 20 auctions the week prior. This time last year 37 auctions were held. Continuing the downwards trend established in December, Sydney clearance rates fell this week compared to the week ending 19th December (57.0%) and were down compared to the December average (60.4%) with 54.9% of auctions recording a successful result.

Capital city auction activity continues to ramp up, with 1,179 capital city homes scheduled to go under the hammer this weekend. This week’s auction volumes are more than double the 436 auctions held last week and up 33.4% compared to this time last year (884).

Australia’s auction clearance rate fell sharply over the final six months of 2021 and continues to point to slower house price growth, given historical correlations:

Unconventional Economist

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