Sydney and Melbourne’s record-breaking spring auction season is predicted to finish with a bang.
According to Domain Group senior economist Dr Andrew Wilson, both capital cities have more auctions planned than any previous pre-Christmas Saturday.
“Three-hundred-and-ninety-five homes are scheduled to go under the hammer which, although unsurprisingly well below last weekend’s 1,028 auctions, is nonetheless well ahead of last year’s 309 over the same weekend and the highest-ever recorded for a pre-Christmas Saturday in Sydney,” Dr Wilson said.
“Between September and December this year, 14,500 homes have been listed for auction, which is well ahead of last year’s previous all-time record of 12,584 over the same period.”
Dr Wilson said high auction numbers have impacted market outcomes over the past month, with clearance rates declining.
“The Sydney auction market commenced the spring season strongly, recording nine consecutive weekend clearance rates above 80 per cent,” he said. “Sydney's last 80 per cent-plus clearance rate, however, was recorded on November 1 – seven weeks ago.
“Despite the recent declining trend, the Sydney auction market bounced last weekend with sellers clearly motivated to find buyers before the lengthy shutdown for the Christmas/New Year break,” he added.
Sydney recorded an improved auction clearance rate of 75 per cent last weekend following the previous weekend’s 18 month-low result of 70.5 per cent.
The city's west will host the most number of auctions this weekend with 72, followed by the south with 54, the inner west 51, Canterbury-Bankstown 46, the south west 40, the upper north shore 34, the north west 26, the city and east 25, the lower north shore 17, the central coast 15 and the northern beaches with 13 auctions scheduled.
This weekend will also complete a record-breaking spring selling season for Melbourne, with 470 homes scheduled to go under the hammer, "a record offering for a pre-Xmas Saturday”, according to Dr Wilson.
“Between September and December this year, 15,365 homes have been listed for auction in Melbourne. This is well ahead of last year’s previous all-time record of 14,019 over the same period.
“In the face of a mountain of listings, Melbourne’s four-weekend average clearance rate has slipped below 70 per cent over recent weeks, with the current average at 68.8,” he added.
Melbourne’s west will host the most number of auctions this weekend with 99, followed by the north east with 78, the outer east with 64, the inner south 57, the north 50, the inner city and the south east each with 40, and the inner east with 38.