This article is from the Australian Property Journal archive
THE auction market was back in business last weekend following the Easter break, but vendors continue to withdraw properties.
National
Around half of the 1,639 properties scheduled to go under the hammer were pulled from the market last weekend. According to Domain, 852 homes were withdrawn and only 546 auctions were conducted, of which 458 sold resulting in a clearance rate of 32.8%.
Auction sales totalled $237.3 million and the median house and unit prices were $960,000 and $625,250.
AMP Capital chief economist Shane Oliver said clearances rates continue to be distorted by very high withdrawals.
He expects the social distancing will drive a slump in sales and Oliver predicts between a 5% to 20% decline in prices, depending on how long shutdown lasts.
Due to Easter, the previous weekend only had 132 listings and 57 properties were withdrawn, as a result 48 properties were auctioned and 28 sold, resulting in a 26.7% clearance rates and totalling of $13.9 million. In the same weekend last year, it was also Easter, therefore there were only 42 listings, 22 auctions and 11 sales totalling $12.8 million and resulting in a 36.7% rate.
In 2018 clearances were 54.8% from 1,329 listings, 1,092 auctions and 663 sales totalling $515.6 million and in 2017 there were 1,400 listings, 1,236 auctions and 927 sales totalling $888.4 million.
In the same weekend in 2016 there were 1,080 listings, 958 auctions and 689 sales totalling $648.1 million and clearance rates of 68.1% whilst it was Easter holidays in 2015, therefore there were only 160 listings, 124 auctions and 101 sold totalling $96.1 million.
Sydney
Sydney saw 314 properties of the 692 listed withdrawn, as a result 255 went under the hammer and 205 sold, resulting in a preliminary clearance rate of 36%, according to Domain.
Sales totalled $121.9 million and the median house and unit prices were $1,260,000 and $810,000.
Oliver expects the final clearance rate will be around 33%.
Due to Easter the previous weekend recorded a 31.3 rate from 85 listings, 31 auctions and 21 sales whilst 36 properties were withdrawn. Sales totalled $11.3 million. Similarly during Easter last year, clearances were 47.6% from 30 listings, 15 auctions and 10 sales totalling $12.3 million.
In 2018 the rate was 51.5% from 406 listings, 278 auctions and 185 sales totalling $189.8 million. In the same weekend in 2017 clearances were 72.3% from 495 listings, 410 auctions, 332 sales totalling $406.8 million.
In 2016 clearances were 68.8% from 442 listings, 365 auctions and 275 sales totalling $325.6 million whilst it was Easter in 2015, therefore only 52 homes were listed, 36 were auctioned and 32 sold resulting in a 78% clearance rate and totalling $33.3 million.
Melbourne
Following the confusion during Easter caused by the sudden ban on private inspections by the Victorian government and backflip three days later, Melbourne’s auction market saw almost 60% of listings pulled last weekend.
According to Domain, the preliminary clearance rate was 29.8%. There were 834 listings however 500 were withdrawn with only 242 homes auctioned of which 221 sold, totalling $105 million. The median house and unit sale prices were $762,000 and $515,000.
Oliver expects the final rate will be around 28%. Meanwhile during the Easter break in the prior weekend, clearances were 18.2% from 40 listings, 13 auctions and six sales totalling $2.6 million. During Easter last year, clearances 0% from seven listings, two auctions and no sale.
Excluding the withdrawals from its reporting, the REIV recorded a high clearance rate of 77% from 100 auctions last weekend, with 77 selling and 23 passed in, six on a vendor bid. Auction volumes totalled $57 million.
The REIV said a large proportion of auctions scheduled have been withdrawn or postponed in favour of alternative methods of sale. Meanwhile there were 79 private transactions totalling $57 million.
According to Domain, in the same weekend in 2018 there were 757 listings, 682 auctions and 417 sales, resulting in a clearance rate of 58.9% and totalling $297.2 million. In 2017 the clearance rate was 73.7% from 684 listings, 640 auctions and 487 sales totalling $414.9 million and in the same period in 2016 recorded a 71.5% rate from 482 listings, 452 auctions and 331 sales totalling $265.6 million. It was Easter in 2015, so only 90 properties were listed, 78 were auctioned and 65 sold totalling $60.5 million and resulting in a 79.3% clearance rate.
Canberra
The nation’s capital saw 29 properties listed on the weekend and 16 auctions were held with 14 selling, resulting in a clearance rate of 58%, according to Domain. Sale volumes totalled $5.06 million.
According to the Corelogic, the clearance rate was 62% from 22 listings, 13 auctions and eight sales. It also recorded 54 private transactions.
Brisbane
Brisbane’s clearance rates were 25%. There were 67 listings, 28 auctions and 13 sales totalling $3.88 million, according to Domain.
Corelogic reported a 39% clearance rate across Queensland from 107 listings, 38 auctions and 15 sales whilst 21 properties passed in. The private sales market recorded 563 deals.
Adelaide
According to Domain, Adelaide recorded a 42% clearance rate from 17 listings, five auctions and five sales totalling $1.51 million.
Corelogic recorded a lower 38% rate across the state from 18 listings, eight auctions and three sales. There were also 183 private transactions.
Perth
Western Australia had 11 auctions scheduled but only one property went under the hammer and it passed in, according to Corelogic. On the other hand, 305 homes sold privately.
Hobart
After almost a month of inactivity in the auction market, Tasmania recorded a 100% clearance rate from one auction and sale. Corelogic also reported 97 private sales.
Darwin
The Northern Territory had nine listings, but no results were reported at the time of publishing. According to Corelogic, there were 10 private sales.
| Auction highlights this week Saturday, 18 April 2020 (Source: Domain) | ||
| City | Location | Value Sold |
| Most expensive | ||
| Sydney | 59 Roscoe St, Bondi Beach NSW 2026, 3 br House, McGrath – Coogee | $3,420,000 |
| Melbourne | 22 Waldemar Rd, Eaglemont VIC 3084, 4 br House, Miles Real Estate Ivanhoe | $2,000,000 |
| Adelaide | 46 Hughes St, Unley SA 5061, 4 br House, Belle Property Unley | $1,512,000 |
| Brisbane | 44 Swanfield St, Macgregor QLD 4109, 4 br House, RW Eight Mile Plains | $760,000 |
| Canberra | 66 Don Dunstan Dr, Bonython ACT 2905, 4 br House, Luton Properties Tuggeranong | $1,023,000 |
| Most affordable | ||
| Sydney | 156 Maxwells Av, Sadleir NSW 2168, 3 br House, Prudential Liverpool | $493,000 |
| Melbourne | 11/18 Fletcher St, Essendon VIC 3040, 1 br Unit, Barry Plant Essendon | $326,000 |
| Adelaide | 46 Hughes St, Unley SA 5061, 4 br House, Belle Property Unley | $1,512,000 |
| Brisbane | 6/11-15 Myra St, Birkdale QLD 4159, 2 br Villa, R&H Cleveland | $350,000 |
| Canberra | 4/54 Macleay St, Turner ACT 2612, 1 br Unit, Independent Inner North & City | $370,000 |
