Higher clearance rate than last year, but gap narrowing especially in Sydney

Higher clearance rate than last year, but gap narrowing especially in Sydney
Higher clearance rate than last year, but gap narrowing especially in Sydney

CoreLogic RP Data has reported a preliminary national auction clearance rate of 75.7% across the combined capital cities after tabulating results in the week ending Saturday August 1, 2015.

There were a total of 1,862 capital city auctions held over the week, most yesterday on Saturday.

The results indicate that clearance rates are still tracking higher than they were one year ago, when the final auction clearance rate over the week was 68.9% across 1,473 auctions.

But there is a weakening as the prior week’s national preliminary clearance rate was 77.7% for late July 2015.

Sydney’s clearance rate sits below 80% for the fourth week in a row, while Melbourne’s clearance rate is stronger compared to last week.

Sydney’s preliminary auction clearance rate was 78.8% across the week, the fourth week in a row where Sydney has recorded a result below 80%.

Last week, Sydney’s clearance rate was 79.9%, while one year ago results show that 76.7% of Sydney homes taken to auction were successful, showing the gap between this year’s clearance rate and last year’s clearance rate is starting to close.

In terms of the number of auctions across the city, this week volumes were lower, down to 816 from 906 last week.

One year ago just 588 Sydney homes were taken to auction over the week.

The Blacktown sub-region of Sydney has shown the strongest performance so far this week, with 94.4% of the 18 reported results selling, with 2 remaining results yet to be collected.

Across Melbourne, the week’s preliminary clearance rate was recorded at 78.6%, up from a recent low of 75.7% last week and remaining well above the clearance rate for the city one year ago (69.0%).

Melbourne hosted 760 auctions, significantly lower than the 918 held last week, but higher than a year ago when there were 636 Melbourne auctions held over the week.

Of the nine individual Melbourne sub-regions, this week the strongest performer, in terms of clearance rates, was the Outer West.

So far, CoreLogic RP Data has collected 48 results for the region and the preliminary results shows 93.8% of these auctions were successful.

Melbourne had several of the cheapest reported sales (pictured below) at $198,000 in Richmond, marketed at $180,000 plus through Biggin & Scott.

1/157 Buckingham Street, Richmond 

There were 140 Brisbane homes taken to auction this week, with 94 results reported so far.

The preliminary clearance rate for the city is 60.6%, up from 54.0% last week and higher than one year ago, when just 36.7% of the 96 properties taken to auction were successful.

Across the Gold Coast 44 results have been reported so far, with a success rate of 47.7% (21 sales).

This week, Adelaide saw a preliminary clearance rate of 71.9%, with 57 reported results across a total of 75 scheduled auctions. In comparison, over the previous week Adelaide’s clearance rate was 58.9% and 61.0% one year ago.

There were 23 Perth auctions this week, with a preliminary clearance rate of 43.8%. Last week, Perth recorded its strongest auction clearance rate for July, at 52.6 %.

Across Canberra a total of 40 auctions were held this week, compared to 49 last week and 28 at the same time last year. Canberra’s preliminary clearance rate of 79.2% is higher than it was the previous week (68.8%).

Of the 6 Tasmanian auction results reported so far this week, 2 sales have been recorded.

Jonathan Chancellor

Jonathan Chancellor

Jonathan Chancellor is one of our authors. Jonathan has been writing about property since the early 1980s and is editor-at-large of Property Observer.

Tags: 
Auctions

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