Chief Auctioneer and owner of auctionWORKS, Jesse Davidson, says it was a slow winter for many agents, but fast forward to spring, and the market mood has shifted.
โAugust really picked up,โ Jesse says.
โItโs not just auction numbers, itโs sentiment.
โWhether itโs the rate pause or just people sensing weโve hit the bottom of the interest rate cycle, buyers and sellers are starting to re-engage.โ
Luxury leads, middle slows
According to Jesse, different segments of the market across Sydney are performing in dramatically different ways.
โThe top end of town is flying,โ he says.
โNot just on price, but registrations. Weโre getting five or six registered bidders on high-end homes, which is an excellent sign.โ
By contrast, the middle tier, those properties in the $2 to $3 million range, has been โthe toughest,โ though this varies suburb to suburb. In tightly held areas like Mosman, that price range still performs due to a lack of stock.
Interestingly, the lower end of the market is holding steady, and Western Sydney is also starting to see signs of renewed activity.
Commercial auctions, too, are proving resilient, especially for triple-A tenants like QSR outlets and national retailers.
Spring doesnโt wait
With only 15โ16 auction weeks left in the calendar year, Jesse warns agents that time is short and planning is crucial.
โSpring runs out quickly,โ he says.
โIf youโre not prepared now, you miss the jump.โ
Given the need for a two-to-three-week lead time to get a property ready, followed by a four-week auction campaign and six-week settlement, listings that arenโt already in play may not settle until 2025.
โThe smart agents are preparing their vendors now,โ he says.
โIf someone wants to be sold and moved before Christmas, they need to get serious.โ
Jesse says that agents need to have honest conversations with vendors around price.
โThe dizzying days of 2021โ22 are gone,โ Jesse says.
โThe market has found a new level.
โVendors who understand that are seeing better results than those who hold out for prices that no longer exist.โ
Why accurate pricing wins auctions
One of the clearest patterns Davidson sees among high-performing agents is a strong focus on setting realistic price guides and getting vendor alignment on those numbers.
โIf the agent thinks itโs worth $2 million and the vendor wants $2.3 million, youโve got a gap,โ he says.
โBut when you price well, you get more buyers. More buyers means competition, and that drives price.โ
Ironically, itโs often the vendors who are willing to price conservatively who end up achieving the strongest results, he says.
โThe owners shooting for the stars often miss the mark entirely,โ he says.
โBuyers walk away, assuming theyโre not serious.โ
Jesse also says that while price is important, itโs rarely the sole driver of a decision to sell, and great agents know how to uncover and work with a sellerโs deeper โwhyโ.
โNo one wakes up and decides to sell just because their house is worth $3 million,โ he says.
โTheyโre upsizing, downsizing, moving interstate, divorcing, grieving โ thereโs always a story.โ
The best agents, he says, market that motivation, and buyers respond.
โWhen buyers know the vendor is serious about moving on, it creates confidence,โ he says.
โThereโs a huge difference between an owner whoโs testing the market and one whoโs genuinely ready.โ
The auction advantage
Finally, Jesse says auctions remain one of the best tools to drive urgency in a market where urgency is otherwise lacking.
โIn 2021 and 2022, buyers were scrambling. Thatโs not happening now. But auction gives them a deadline,โ he explains.
โIf Iโm a buyer looking at three properties, but one is going to auction in three and a half weeks, Iโve got to prioritise that one.
โIt forces action.โ