Clearance rates recover from slow long weekend

Editorial director of Switzer
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The combined auction clearance rate for capital cities (minus Darwin) over the weekend was back up to 65.7%, from 61.4% the previous week, as recorded by RP Data. The rate continues to trend up, as is apparent in the graph below.

The number of houses across capital cities put up for auction also more than doubled on the weekend, with 1,751 capital city auctions recorded compared to 775 last week.

RP Data recorded an auction clearance rate of 76.3% for Sydney over the weekend, which compared to the 76.9% recorded by Australian Property Monitors (APM). In Melbourne RP Data’s rate was 69.3% and APM’s 67.9% (see Table 1 below).

RP Data also records clearance rates for Perth, Tasmania and Canberra, which were 23.5%, 14.3% and 51.5% respectively. All these areas had less than 40 auctions, with Tasmania just 9, which partly explains the low results.

The updated APM data for the previous week – 8 June long weekend – shows auction clearance rates in Sydney and Melbourne at over 60%, despite inactivity on the market due to the holiday (see Table 2 below).

APM data for the same week last year (see Table 3 below) shows clearance rates were well below 60% across the board, and the average price for houses sold at auction in Sydney was $824,000 compared to the $930,000 recorded on the weekend.

The most expensive property sold over the weekend at auction was a four-bedroom house in Balgowlah Heights, in the Northern Beaches area in Sydney, which went for $2.755 million. But Brisbane also recorded a $2 million property when a five-bedroom house in Ashgrove, five kilometres north west of Brisbane CBD, was sold for $2.075 million.

The most expensive property sold in Melbourne was a five-bedroom house in Hampton, 16 kilometres south of the city, which was auctioned for $2.473 million.

Important: This content has been prepared without taking account of the objectives, financial situation or needs of any particular individual. It does not constitute formal advice. Consider the appropriateness of the information in regards to your circumstances.

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