For the sixth consecutive week auction clearance rates have remained above 80 per cent in Sydney, resulting in the best ever February figures.
Figures from Australian Property Monitors (APM) show that Sydney did not slow down over the weekend, recording an 82.4 per cent clearance rate for the 388 properties put to auction.
According to Dr Andrew Wilson, senior economist for APM, the results are staggering.
“We’ve had a very solid start to the year, particularly in Sydney. The clearance rates over February were the highest ever recorded for a February and the third highest on record for Sydney, just behind September last year.
“This means we’ve had six consecutive clearance rates above 80 per cent to start the year, which is extraordinary and unprecedented,” Mr Wilson said.
Melbourne also performed strongly. However, auction numbers were down considerably from last week.
“We’ve typically seen Melbourne clearance rates sitting around the mid-70s this year,” Mr Wilson said after the Victorian capital recorded a 70.1 per cent clearance rate.
Only 162 properties were put to auction over the weekend, down from 983 the week before. But Mr Wilson claims auction numbers are still up on the same time last year.
Speaking with Real Estate Business, Rocky Bartolotto, director of Auction Services, said the Sydney market is getting more and more competitive, with a property in the western suburb of Hammondville selling for $130,000 over the reserve price, for $695,000, this weekend.
“The property had 37 registered bidders and a massive crowd of about 130 onlookers. The property was a six-bedroom brick in need of a builder/renovation to finish off a half-renovated job," he said.
“The opening bid was $480,000 and went to $650,000 with approximately 40 bids coming from 14 of the 37 registered bidders.”
The final two parties ended in a bidding war with a family eventually securing the property.