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Auction results indicate a race to the 2020 finish line

The final weekend of property auctions for 2020 proved there is still impetus and interest in the market, with this weekend’s high volume matched by an equally impressive preliminary clearance rate.

With the Christmas break now under way, Domain is the only source providing auction results. They have reported volumes that were more than two and half times the same week in 2019 with a 75.3 per cent preliminary success rate.

Domain notes 1602 properties went to auction across the major markets this weekend, compared to just 617 in 2019 when a final clearance rate of 59.6 per cent was recorded.

Breaking the data down, of the 1602 properties taken to auction this week, results are in for 1230 properties, with 926 successfully selling (to the value of $709.3 million), while 156 properties were withdrawn.

Last week, Domain data indicated 2084 properties went to auction in the major markets, with the final clearance rate coming in at 69.7 per cent. Results were provided for 1960 of those auctions, with 1367 properties successfully selling (to the value of $1091.4 million), while 186 properties were withdrawn.

In the same week in 2019, 617 properties went to auction nationally. Results were provided for 550 of those auctions, with 328 properties successfully selling (to the value of $291 million), while 39 properties were withdrawn, resulting in a final clearance rate of 59.6 per cent.

Sydney

Sydney’s volume reduced in anticipation of the Christmas break but not as much as previous years, and the clearance rate held firm. This week 566 properties were scheduled for auction in Sydney, with the preliminary clearance rate coming in at 74.9 per cent.

So far results are in for 431 of those auctions, with 323 properties successfully selling (to the value of $300.8 million), while 66 properties were withdrawn.

Last week, Sydney saw 872 properties listed for auction and the final clearance rate came in at 72.5 per cent. This was on the back of 808 results being provided, 586 properties successfully selling (to the value of $552.8 million), and 96 properties being withdrawn.

In the same week last year, Sydney’s volume was much lower. In the lead-up to Christmas 2019, just 163 properties were listed for auction and the clearance rate was 66.9 per cent. Results were provided for 148 of those properties, with 99 successfully selling (to the value of $109.3 million), while 14 properties were withdrawn.

Melbourne

Over half of all properties taken to auction this week were in Melbourne, where 864 auctions were scheduled, and the preliminary clearance rate hit 75.7 per cent.

So far results have been provided for 675 of those auctions, with 511 properties successfully selling (to the value of $359.9 million), while 77 properties were withdrawn.

Last week, Domain’s data indicated Melbourne’s volume was slightly higher, with 981 properties slated for auction and the final clearance rate revising down to 67.7 per cent. Results were provided for 932 of those auctions, with 631 properties successfully selling (to the value of $456.1 million), while 82 properties were withdrawn.

This time last year, Melbourne’s volume was less than half of what it is in 2020. In the lead-up to Christmas 2019, just 363 auctions were scheduled in the Victorian capital and the clearance rate was 61.7 per cent. Results were provided for 324 of those auctions, with 200 properties successfully selling (to the value of $165.3 million), while 19 properties were withdrawn.

CoreLogic

Prior to taking a well-earned rest, on Thursday CoreLogic noted 2347 properties were expected to be taken to auction this weekend – a trend which flies in the face of the traditionally quiet Christmas period.

This time last year only 909 properties were listed for auction across the capitals.

As mentioned, final data on the preliminary clearance rate for this week is not currently available, with CoreLogic due to recommence their reporting of the auction market in early February 2021, pending volumes.

Melbourne

CoreLogic also noted the weekend prior to Christmas was expected to see just over half of all auction activity occur in Melbourne, with 1193 properties expected to go under the hammer on Saturday.

This was an increase on the 1163 properties taken to auction in Victoria last week and an astounding rise on the 470 listed to go under the hammer in the same week last year.

Sydney

Heading into the past weekend, Sydney was expected to see 763 properties go to auction, which was down on the 1009 properties that went under the hammer the week prior, but again a huge increase on the 248 properties that went to auction in the same week in 2019.

The smaller capitals

Across the smaller cities, scheduled volumes were set to be higher in Adelaide (136), while the remaining cities all had fewer auctions scheduled week-on-week.

CoreLogic is exepected to resume their auction reports in early February 2021, pending sufficient volume

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