This article is from the Australian Property Journal archive
THE capital city clearance rate has hit its highest level since June last year, with preliminary figures rebounding from weak late-2023 results to 76.2%.
According to CoreLogic’s preliminary auction results for the week ending 11 February, the clearance rate for the capitals continued to grow from the previous week’s revised 68.3%.
The combined capitals saw 1,551 total auctions across the week, with 540 sold at auction for a median price of $1,060,000, 352 sold prior to auction, 19 sold after auction, 205 passed in and 82 withdrawn.
“The newfound strength in auction markets is a radical turnaround from the December results last year, where the preliminary capital city clearance rate fell to the mid 60% range while final clearance rates dropped to the mid 50% level,” said Tim Lawless, research director at CoreLogic.
Melbourne saw the greatest auction activity for the week, with a clearance rate of 73.1% and 618 homes going under the hammer after 625 the week prior and 564 in the same week last year.
Across the week, Melbourne saw 254 properties sold at auction for a median of $900,00, 112 sold prior to auction and 11 after auctions, with 113 passed in and 26 withdrawn.
Sydney was close behind with 615 homes going up for auction, after 583 last week and 601 this time last year, for a clearance rate of 80.4%.
Sydney saw 185 properties sold at auction for a median of $1,315,00, 194 sold prior to auction and seven after auctions, with 48 passed in and 46 withdrawn.
In Brisbane, the clearance rate was at 71.1% and there were 147 auctions reported, down from 202 in the week prior but up from 104 last year.
Adelaide recorded a preliminary clearance rate of 86.2%, with 103 auctions reported, down from 162 last week and 99 this time last year.
Canberra’s preliminary clearance rate was at 61.2%, after 60 auctions took place, down significantly from the previous week’s 129 and the 99 that took place at the same time last year.
Meanwhile seven auctions took place in Perth and just one across Tasmania over the week.
“The early part of the year can show some seasonality, however, with both the volume of auctions and the clearance rate coming in high over the past two weeks, it looks like the year has started with a much better fit between buyer and seller pricing expectations,” added Lawless.
“Stronger auction outcomes could be reflective of a boost in sentiment as expectations of an earlier than expected interest rate cut become more widespread.”
