Auction clearance rates remained surprisingly strong this weekend despite the fact that over 13 million Australians are in lockdown.
But the strain is starting to show with only 566 properties being taken to auction in Sydney this weekend and fewer properties will be going to auction moving forward as lockdowns and inspection limitations persist.
Dr Andrew Wilson of My Housing Market was tracking 1,944 auctions in the major capitals this weekend, which was understandably less than last weekend’s 2,178 properties auctioned.
Despite the challenges all our capital cities delivered solid auction clearance rates with Canberra being the stand-out performer with a preliminary auction clearance rate of 87.3% from the 69 auctions conducted.
Other preliminary clearance rates (as reported by Dr. Andrew Wilson’s Auction Insider) were:-
Sydney – 75.1%
Melbourne – 73.
Brisbane – 76.8%
Adelaide – 74.5%
Remember withdrawn auctions and, not surprisingly there were 97 auction withdrawals in Sydney and 185 withdrawals in Melbourne this weekend, are recorded as not sold and therefore bring down auction clearance rates.
Today’s combined capital city preliminary auction clearance rate was recorded at 69.5% across 1,181 auction results reported so far.
Sydney’s auction clearance rates are lower nowadays than they were in the white hot markets of March and April this year, yet there is still significant buyer depth considering the fact that the city has been locked down for 3 weekends now.
Clearly online auctions are now an accepted selling method in Sydney, but auction clearance rates are likely to drop further if lockdown conditions are tightened and property inspections are limited.
The Harbour City was host to 872 auctions this weekend and the preliminary auction clearance rate was a solid 78%, but will be revised lower to around the mid 70%’s as the remaining auction results are collected.
Last week, a final clearance rate for Sydney as reported by Domain was 73.4%.
Not surprisingly 122 properties that were planned to be auctioned this weekend were withdrawn from sale.
Realestate.com.au reported that there were also 1,554 private sales in New South Wales over the last week, much the same as the 1,586 private sales the week before, a great result considering Sydney’s lockdown.
The following chart from Dr. Andrew Wilson of My Housing markets shows the Sydney auction clearance trend:
In Melbourne 1061 properties were scheduled for auction this week – significantly more than the 981 auctions conducted last weekend.
Of course these were planned before the sudden lockdown, and prospective purchases had a chance to inspect these properties prior to the lockdown.
The preliminary auction clearance rate for Melbourne was a solid 73.2% but will be revised lower to the high 60%’s once the remaining auction results are collected.
Last week a final clearance rate for Melbourne as reported by Domain was 72.7%.
186 properties were withdrawn from sale this weekend.
Realestate.com.au reported that there were also 1,256 private sales in Victoria in the last week; more than the previous week’s 1,1183.
The following chart from Dr. Andrew Wilson of My Housing markets shows the long term trend of Melbourne’s auction clearance rate:
Here are the preliminary auction clearance rates as reported by Dr. Andrew WIlson
As always these will be lower by mid week when the auction results that are not yet reported are taken into account.
The following charts from NAB and Corelogic also shows the long-term auction clearance rate trend for our combined capital cities.
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