This article is from the Australian Property Journal archive
THE Melbourne residential property auction market has seen a marked improvement in the clearance rate last weekend.
According to the REIV, 837 properties went under the hammer last weekend and 538 sold. There were 299 properties passed in, of which 194 were on a vendor’s bid. Although there were 99 auctions that did not disclose a result.
The clearance rate last weekend was 64% — up from 59% in the previous weekend from 769 auctions.
In the same weekend last year, the clearance rate was 49% from 759 auctions and in 2010, the rate was 57% from 1013 auctions. However it is nowhere near the levels in 2009, of 81% from 739 auctions.
The total value of auction sales was $392.49 million.
REIV CEO Enzo Raimondo said this time last year was the low point for the 2011 spring selling season and last weekend’s result illustrates the improvement in the market this spring.
The year to date clearance rate is 61% from 22,622 auctions compared to 60% from 26,465 auctions this time last year and 75% from 28,454 auctions in 2010.
Meanwhile the private sales market had 549 transactions totalling $284.83 million.
In Sydney 560 homes were auctioned and 339 sold whilst 221 were passed in of which 33 were on a vendor’s bid, resulting in a clearance rate of 61%, according to the REINSW. Although there were 161 auctions which did not disclose a result.
The total value of auction was $246.05 million.
Last weekend, the clearance rate was 58.6% from 531 auctions and 280 sold, according to Australian Property Monitors’ Home Price Guide.
And in the same weekend in 2011, there were 517 auctions and 256 sales representing a clearance rate of 54%. Total sales were $202.3 million, according to APM.
Meanwhile last weekend Sydney reported 652 private sales totalling $316.11 million.
Property Review
