Melbourne enjoyed the nation’s best auction clearance rate over the weekend, leading the capital cities for the first time this year.
Australian Property Monitors (APM) recorded a result of 75.6 per cent for Melbourne, up from 72.9 per cent last week, which followed a 73.4 per cent result the previous weekend.
According to Andrew Wilson, senior economist for APM , Melbourne's home auction market has strengthened over recent weeks, with this weekend’s result the highest the city has recorded for over two months.
"Melbourne’s weekend auction market continues to provide solid results for sellers despite unprecedented listing numbers for this time of the year,” said Mr Wilson.
Sydney’s auction market produced its lowest clearance rate of the year at the weekend, with APM reporting a 74.9 per cent clearance rate.
Mr Wilson said the result, which was well below the records set earlier this year, is a sign that the recent boom in the Sydney property market may be coming to an end.
APM reported that Sydney’s weekend auction clearance rates averaged 82 per cent over the 11 weekends prior to Easter. Since Easter, however, that rate has fallen to an average of 77 per cent, with this week’s result well below last weekend’s 77.8 per cent
“Latest [Australian Bureau of Statistics] ABS house price data confirmed that house price growth has moderated in all capitals cities over the March quarter, following strong results of the December quarter last year,” said Mr Wilson. “Sydney home prices increased solidly by 2.3 per cent over the quarter but were down sharply from the strong five per cent result recorded over the previous quarter.”
According to APM data, Brisbane recorded a 47.4 per cent clearance rate over the weekend, while Adelaide posted a 64 per cent result.
Mr Wilson has predicted auction numbers will continue to surge to record levels for the rest of May, leading up to the Queen’s Birthday holiday break, with over 2,000 properties scheduled to go under the hammer.