2017 auctions start off with a strong footing: CoreLogic

2017 auctions start off with a strong footing: CoreLogic
2017 auctions start off with a strong footing: CoreLogic

The new year began on a strong footing with capital city clearance rates at auctions generally tracking in the high 70% to mid-80% range from week to week, according to CoreLogic’s latest report.

The property data firm says the results of ‘Super Saturday’ last week saw an unprecedented number of auctions for February; clearance rates reached a new high for 2017 despite the large number of auctions held.

Advertised listing numbers remain low across the hottest housing markets, with total residential advertised listings in Sydney tracking 11.3% lower than the same period a year ago, Melbourne total listings are 5.1% lower than last year, Hobart listings are down by 35% and Canberra advertised stock levels are 6.2% lower than a year ago.

CoreLogic head of research Tim Lawless said, “Low levels of advertised stock for sale at a time when buyer demand remains strong is creating a sense of urgency among buyers, which is adding to the upward pressure on prices.

"This helps to explain why clearance rates are so high, and private treaty sales are so rapid across the strongest markets.”

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 2017 auctions start off with a strong footing: CoreLogic

Overall, the latest results from the CoreLogic Hedonic Index highlights the performance diversity across Australia’s housing market, he added.

"The continuation of the capital gains rebound is likely to create further discomfort among policy makers, particularly in light of the growing debate around affordability and the high level of demand from investors.”

“I remain of the view that housing market conditions will moderate during 2017 due to affordability constraints impacting on housing demand, as well as higher supply levels and an eventual slowing of investment demand brought about either through changed policies from Australian lenders or via regulatory changes aimed at slowing credit growth across the investment sector.”

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Auctions Corelogic

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