Powered by MOMENTUM MEDIA
Powered by MOMENTUM MEDIA
subscribe to our newsletter

Clearance rates to fall from recent heights

Final auction clearance rates across the country are due to dip below 70 per cent for the first time since mid-August, according to CoreLogic.

The latest data from property research group CoreLogic has stated that 1,324 homes went under the hammer across capital cities in the week ending 6 October, up slightly from 1,278 homes the previous week.

While national volumes have increased slightly, both preliminary and predicted final auction clearance rates dropped nationally over the week.

Advertisement
Advertisement

The data shows a preliminary clearance rate of 71.3 per cent for the week; however, CoreLogic anticipate the final rate to be revised below 70 per cent, for the first time since mid-August.

Comparatively, the previous week recorded a preliminary clearance of 74.4 per cent, and a final clearance rate of 71 per cent.

CoreLogic has noted some disturbances to the auction market over the last two weeks, largely caused by two major grand finals taking place in the nation’s biggest markets.

The data suggests that the NRL grand final significantly affected volumes in Sydney, with only 316 homes taken to auction, compared to 950 properties the previous week.

This fall was largely negated by a bump in auction activity across Melbourne, with 777 homes taken to auction, up from just 107 in the previous week, which capped off with the AFL Grand Final. 

Despite these disruptions, Sydney and Melbourne continue to outperform the rest of the nation in terms of clearance rates, with Sydney achieving a 79.8 per cent clearance rate, and Melbourne clearing 73.8 per cent.

While auction activity continues to be down year-on-year, national clearance rates are well above those recorded in 2018.

The same week last year saw 1,817 homes sent to auction across the capital cities; however, just under half of these properties were sold under the hammer, with a national final clearance rate of just 49.5 per cent.

In Sydney, the final clearance rate for the same week last year fell below the national average, at 46.1 per cent, whereas Melbourne achieved a slightly higher result of 51.8 per cent.

[Related: Top end of town driving market rebound]

Clearance rates to fall from recent heights
Clearance rates to fall from recent heights
mortgagebusiness

Hannah Dowling

Hannah Dowling is a cadet journalist for mortgage business, the leading source of news, opinion and strategy for professionals working in the mortgage industry.

Prior to joining the team at Mortgage Business, Hannah worked as a content producer for a podcast catering to property investors. She also spent 6 years working in the real estate sector at a local agency. 

Hannah graduated from Macquarie University with a Bachelor of Media and Journalism. 

You can email Hannah at: This email address is being protected from spambots. You need JavaScript enabled to view it.

Latest News

Analysts are in two minds about the Reserve Bank’s monetary policy strategy, with recent remarks from governor Philip Lowe casting doubt o...

The lender’s mortgage insurance provider has announced the appointment of a new non-executive member of the board, following the retiremen...

The financial services group has reported strong growth in its Australian reverse mortgage book, helping to list its market share to 26 per ...

FROM THE WEB
podcast

LATEST PODCAST: Questions raised about AFG-Connective merger

Do you think Australia will move to quantitative easing this year?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.