This week, the combined capital city preliminary auction clearance rate was down only slightly to 67.5 per cent across a lower volume of auctions.
CoreLogic figures indicate there were 882 homes taken to auction over the week, down from 1128 the previous week and 1533 this time last year.
Of the 696 results collected so far, 67.5 per cent were successful, slightly lower than last week’s preliminary figure of 67.7 per cent which later revised down to 59.8 per cent at final collection.
Over the same week last year, a final clearance rate of 72.3 per cent was reported across the combined capitals.
Melbourne
CoreLogic notes auction activity came to a virtual halt in Melbourne this week with just 28 homes taken to auction.
“The lower activity is not overly surprising given the city has been in Stage 4 lockdown for the past five weeks, meaning both onsite auctions and private inspections are currently banned in Melbourne,” CoreLogic explained.
“Of the 24 results collected so far, just 33.3 per cent were successful, with all but one sold prior to the auction event.
“Two thirds of Melbourne auctions were withdrawn this week, skewing the clearance rate lower.”
Over the previous week, 162 auctions were held across the city, while this time last year, 765 Melbourne homes were taken to auction.
Sydney
Sydney was host to 625 auctions this week, down from 706 last week and up from 528 this time last year.
CoreLogic reports of the 491 auction results collected so far, 69.5 per cent were successful, down from last week’s preliminary result of 74.0 per cent which revised down to 64.2 per cent at final results.
This time last year, Sydney recorded a final auction clearance rate of 75.7 per cent.
The smaller capitals
Across the smaller markets, Canberra recorded the highest preliminary clearance rate of 78.6 per cent, across 70 auction results, followed by Adelaide with a preliminary clearance rate of 69.0 per cent across 42 results.
Domain results
Domain clocked a national capital preliminary clearance rate of 63.7 per cent , but it came from volume that is less than half of what it was in the same week last year.
This week they report 578 properties were listed for auction, which is down compared to both the week prior and 2019.
Results have so far been reported on 454 of those auctions, with 288 sales made (to the value of $213.6 million) and 92 withdrawals.
Last week 763 properties were listed for auction, resulting in a clearance rate of 58.3 per cent. The data indicates 674 results were provided, with 393 sales made (to the value of $328 million) and 120 properties were withdrawn.
In the same week last year, 1352 properties were listed for auction, resulting in a clearance rate of 71.6 per cent. Breaking those figures down, 1238 results were reported, 886 properties sold (to the collective value of $1013.8 million) and just 65 properties were withdrawn.
Sydney
Sydney was the better performer in terms of volume, with the number of houses taken to auction almost equivalent to the same time last year.
This week 437 properties were listed for auction, resulting in a clearance rate of 62.4 per cent.
Of those, 338 results were provided, 211 sales were made (to the value of $164.3 million) and 78 properties were withdrawn.
Last week, Sydney’s volume was higher, with 511 properties taken to auction, 457 results provided, 279 sales made (to the value of $262 million) and 64 properties withdrawn. This resulted in a clearance rate of 61.1 per cent.
In the same week in 2019, Sydney clocked a clearance rate of 75 per cent off the back of 448 properties listed for auction, 420 results provided, 315 sales made (to the value of $457.1 million) and 35 property withdrawals.
Melbourne
The full impact of the Melbourne lockdowns was evident in the auction arena this week, with Domain reporting just 16 properties were taken to auction, compared to 745 in the same week last year.
Of those 16 properties, results for 12 were provided, four sales were made to the value of just $500,000, and eight properties were withdrawn. This equated to a clearance rate of 33.3 per cent.
Last week 107 Melbourne properties were listed for auction, 79 results were reported, 29 sales were made (to the value of $21 million) and 45 properties were withdrawn, for a clearance rate of 36.7 per cent.
This time last year things looked very different. The first week of spring saw 745 properties listed for auction, 666 results were reported, 480 sales were made (to the value of $493.2 million) and 21 properties were withdrawn. This resulted in a clearance rate of 72.1 per cent.
Ray White results
Ray White reports they enjoyed a sizzling start to spring with the first September Saturday seeing vendors bask in what remains “a hot seller’s market”.
Following on from the Ray White Group’s best August in its 118-year history, the auction house booked a strong preliminary clearance rate of 71.8 per cent.
Breaking down the capitals, in Sydney they returned a preliminary clearance rate of 80.6 per cent, in Melbourne they clocked 100 per cent, in Brisbane they reported 63.6 per cent, while Adelaide came in at 70 per cent.
NSW
Ray White New South Wales Chief Auctioneer Alex Pattaro said it was not just the weather that Sydney turned on this weekend, as Ray White New South Wales started spring with a bang.
“Our auction day clearance rate is sitting around 80 per cent, suggesting properties are continuing to sell under the hammer,” Mr Pattaro said.
“There’s been lots of talk around what the market may do within the next six months, however, looking at our auction metrics, it only suggests that we’re heading north.
“A record July and August for the network only suggests properties are continuing to transact and we see no reason why vendors wouldn’t sell at auction in the current climate.”
Victoria
Ray White Victoria/Tasmania CEO Stephen Dullens said all eyes were on the government this Sunday for announcements around the easing of restrictions across Melbourne and regional Victoria.
“Despite the current restriction levels, the Victorian property market remains resilient and buyer demand is strong,” Mr Dullens said.
“As evidence of this, Ray White transacted over 700 sales during the month of August across Victoria, selling in excess of $430 million worth of property – despite the state being in Stage 4 and Stage 3 restrictions for almost the entire month.
“This result shows once again that buyers remain out in force – new listings to market remain low and buyer demand is high – this is producing some excellent results for sellers.
“On the auction front, Ray White called 145 online auctions for the month of August – more than any other group across Victoria.
“This resulted in a clearance rate of 71.7 per cent, an average of 5.5 registered bidders and 3.2 active bidders per auction – some of the strongest results we’ve seen all year.
“In the coming days we’ll learn how these easing restrictions will impact the real estate industry and, most importantly, our customers.
“The industry has shown an ability over the last six months to adapt to whatever the conditions and, most importantly, operate in a safe environment for our customers.”
Queensland
Ray White QLD Chief Auctioneer Mitch Peereboom said the auctions throughout the Sunshine State this week could only be described as electric.
“We had such great sale prices as a direct result of the amount of competition that’s in the marketplace at the moment,” Mr Peereboom said.
“Our average number of registered bidders is again holding consistent with recent weeks and the clearance rate is nothing short of exciting if you compare it to this time last year.
“I’m confident this is going to be one of our best week’s of clearance over the month.”
In terms of outstanding sales, Ray White New Farm Principal Matt Lancashire sold the world-class private riverfront estate at 36A Oxlade Drive for a whopping $8,000,000 under the hammer.
“The Brisbane market, especially for fabulous properties like this right on the river, is really hot right now with exceptional results after exceptional results,” Mr Lancashire said.
“Things are a bit different with COVID-19, but the things that aren’t different is there being no substitute for hard work, always calling people back and taking absolutely nothing for chance.”
South Australia
Ray White South Australia Chief Auctioneer John Morris said they were coming off the back of a personal best month, with 111 auctions, and a week where they held an almost 80 per cent clearance rate.
“Ray White certainly has dived headfirst into the spring selling season in South Australia,” Mr Morris said.
“We have a preliminary clearance rate of 50 per cent, and although that’s low, there’s been bidding at over 91 per cent of auctions.
“The sun is out, the bidders are out, so here’s to a fantastic spring and what’s coming.”
