Sydney looks set to enjoy third consecutive week of a final auction clearance rate above 80 per cent as national volumes continue to climb.
In total over 2000 properties headed to auction across the capitals, with the preliminary clearance rate continuing to hold in the 80s at 84.4 per cent.
CoreLogic noted there were 2094 homes scheduled for auction across the combined capital cities, up from 1496 over the previous week.
“Of the 1754 results collected so far, 84.4 per cent have reported a successful result, down from last week’s preliminary auction clearance rate of 86.1 per cent which revised down to 77.1 per cent at final figures,” CoreLogic said.
“Over the same week last year, 2517 homes were taken to auction and 72.7 per cent of reported results were successful.”
Melbourne was host to 1,061 auctions this week, up from 635 the previous week, while this time last year a higher 1248 homes were taken to auction.
Of the 908 results collected so far, 82.2 per cent were successful, down from last week’s preliminary clearance rate of 87.8 per cent, which revised down to 70.6 per cent at final figures.
“The large revision last week was partly due to a spike in withdrawn auctions while the city was in lockdown, with 25.3 per cent of reported auctions returning a withdrawn result,” CoreLogic explained.
“So far this week, just 6.4 per cent of reported auction results were withdrawn across the city.”
In Sydney, 769 homes were taken to auction this week, compared to 625 over the previous week and 963 this time last year.
The preliminary clearance rate came in at 88.2 per cent, up from the previous week’s preliminary clearance rate of 87.5 per cent, which revised down to 83.9 per cent at final figures.
This time last year, 74.5 per cent of reported auctions were successful.
“It is likely that Sydney’s final auction clearance rate will come in above 80.0 per cent for the third consecutive week,” CoreLogic said.
The smaller capitals
Across the smaller cities, Canberra recorded the highest preliminary clearance rate at 92.4 per cent, followed by Adelaide (85.4 per cent) and Brisbane (79.4 per cent).
Auction markets are set to be tested on larger volumes next week, with CoreLogic tracking close to 2500 capital city auctions scheduled to be held.
Domain results also indicated the preliminary clearance rate remained high this week, with 1787 auction properties returning a clearance rate of 81.8 per cent.
Of the 1348 results provided so far, 1102 properties sold (for a combined value of $971.6 million) while 119 properties were withdrawn.
Last week volume was lower with 1390 properties taken to auction, and the clearance rate coming in at 77.3 per cent.
Breaking that down, results were returned on 1137 of those auctions, with 879 properties successfully selling (to the value of $798.9 million) while 132 properties were withdrawn.
In the same week last year, the clearance rate was a lower 72.2 per cent on the back of the higher volume of 2204 properties taken to auction.
Results were provided for 2031 of those auctions, with 1467 properties successfully selling (to the value of $1772.5 million) while 119 properties were withdrawn
Sydney continues to command a high success rate, with Domain’s data indicating 624 properties were taken to auction, returning a preliminary clearance rate of 86.3 per cent.
So far, results have been provided on 480 of those auctions, with 414 properties successfully selling (to the value of $450.8 million), while 41 properties were withdrawn.
Last week, Sydney’s final clearance rate came in at 83.9 per cent after 553 properties were taken to auction.
Results were provided on 515 of those auctions, with 432 properties successfully selling (to the value of $492.4 million), while 29 properties were withdrawn.
This time last year, Sydney’s volume and value were higher but the clearance rate was lower. In the same week in 2020, 828 Sydney properties were taken to auction, returning a clearance rate of 74.8 per cent.
Results were provided for 769 of those auctions, with 565 properties successfully selling (to the value of $838.4 million), while 62 properties were withdrawn.
Melbourne’s volume picked up this week and the clearance rate kept pace, with 1004 properties taken to auction resulting in a preliminary success rate of 78.8 per cent.
So far results are in for 744 of those auctions, with 586 properties successfully selling (to the value of $452.9 million) while 70 properties were withdrawn.
Last week, of course, Melbourne was impacted by a snap lockdown which saw an increase in withdrawals, but still 693 properties were slated for auction, and the clearance rate was 72 per cent.
Results were provided for 489 of those auctions, with 352 properties successfully selling (to the value of $253.1 million), while 97 properties were withdrawn.
This time last year Melbourne’s volume and value were higher, with 1189 properties taken to auction during the same week in 2020 and the clearance rate sitting at 73.5 per cent.
Results were provided for 1086 of those auctions with 798 properties successfully selling (to the value of $852.9 million), while just 37 properties were withdrawn.
Ray White results
The Ray White Group noted there seemed to be no end in sight for a barnstorming auction market that again produced fantastic results for sellers and delivered outstanding clearance rates across Australia this weekend.
According to their data, scheduled auctions for Ray White were up more than 25 per cent on the same dates last year, with 288 auctions scheduled just for Saturday, while the group booked a strong preliminary auction day clearance rate of 85.7 per cent.
The desire for sellers to sell their property under the hammer is also on the rise with the Ray White Group also reporting a 19.88 per cent lift in scheduled auctions compared to last year.
Sydney saw an exceptional preliminary clearance rate of 91.7 per cent while Melbourne, where auctions were back on site after restrictions were lifted, was at 81.8 per cent clearance.
Brisbane had an astonishing day with a 100 per cent clearance rate and Adelaide came in at 90 per cent.
New South Wales
Ray White New South Wales Chief Auctioneer Alex Pattaro said the Easter rush appeared to be starting early.
“It’s absolutely incredible. My diary is booked solid for auctions right up until the end of March as vendors look to take advantage of the favourable seller’s market,” Mr Pattaro said.
“I understand that some people are hesitant to come to the market because they’re concerned about going on to buy – but I can ease those fears because there is more property about to come online as we head into what is going to a swashbuckling Easter period for auctions.
“Although properties are selling for excellent prices, money has never been cheaper with the historic low interest rates, so buyers’ money will go further than it ever has done.”
Ray White Victoria and Tasmania Chief Auctioneer Matt Condon said with auction volume on the rise, Victoria’s real estate market continued to go from strength to strength.
“Prelim data from the Ray White Group has revealed, yet again, one of our strongest weeks when looking at the average number of registered and active bidders per auction,” Mr Condon said.
“Buyers are arriving at each auction with a clear strategy in mind and doing everything they can to secure their desired property.
“This increase in buyer demand is creating a high level of competition at each auction and producing some exceptional results for our clients.”
Ray White Queensland Chief Auctioneer Mitch Peereboom said a record number of bidder registrations had been the main theme for Saturday.
“We’ve seen excellent results across the board in Brisbane for auctions today, but also that’s wrapping up a week across Queensland, with some outstanding results under the hammer,” Mr Peereboom said.
“Across all market segments, if you look at the unit marketplace and sub-$600,000 in Brisbane CBD and surrounding, that’s performing exceptionally well.
“When you look at properties between $500,000 and $1 million, they’re absolutely going off. We’ve seen some excellent results for our rural network throughout the course of the week, and multi-million-dollar luxury properties on the Gold Coast as well.
“We’re so confident to recommend to sellers to come to the market now as we’re dealing with an amazing amount of competition so you can take advantage of the market there.”
Ray White South Australia Chief Auctioneer John Morris said the group continued to create a frenzy in the auction space with record-breaking numbers.
“Of my auctions called this weekend, there have been 18 average registered bidders, with an average of 22 bids per auction,” Mr Morris said.
“Everything is selling way above reserve. There are fantastic numbers at both open homes and auctions and it really is a frenzy of bidding activity on auction day.”