Auction market recovers from winter cold

Signs of new life have begun to show in the auction market across the nation, as winter struggles to maintain its cold grip.

Sydney’s auction market continues its revival by recording its second consecutive weekend clearance rate above 77 per cent, according to Domain Group senior economist Dr Andrew Wilson.

“This weekend’s 77.3 per cent rate was similar to last weekend’s 77.7 per cent rate that followed a month of results that had indicated a falling trend in buyer activity,” he said.

"Activity in the Sydney auction market had clearly been tracking downwards over June and into July, with clearance rates averaging below 75 per cent.

“This is well below the boom-time results that had averaged over 80 per cent earlier in the year,” he added.

Dr Wilson said the northern beaches recorded another stunning clearance rate with a 94.7 per cent result, followed by the inner west with 87.8 per cent, the city and east with 85.7 per cent, the south with 84.1 per cent, and the lower north with 81.5 per cent.

Melbourne’s mid-winter auction market has yet again recorded another solid result for sellers at the weekend with a 74.3 per cent clearance rate - the highest weekend result recorded so far over July.

“Auction sales levels in Melbourne are holding firm over winter with consistent results being reported each weekend,” Dr Wilson said.

“Auction clearance rates have averaged 73.2 per cent since the Queen’s Birthday weekend, compared to 67.1 per cent over the same period a year ago,” he added.

Dr Wilson stated Melbourne’s inner-city suburban region produced the best result at the weekend with a strong auction clearance rate of 87.9 per cent.

“This was closely followed by the north with 87.8 per cent, the inner east with 84.6 per cent, the north east with 72.1 per cent, the west with 71.4 per cent and the inner south with an auction clearance rate at the weekend of 70.7 per cent,” he added.

According to Australian Property Monitors (APM), Adelaide recorded a 68.4 per cent clearance rate over the weekend, up from 66.7 per cent the previous weekend.

Brisbane recorded a clearance rate of 51.1 per cent, a jump from 45.2 per cent the previous weekend. 

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