RP Data's Melbourne November 16 weekend auction preview

RP Data is expecting 1,178 auctions in Melbourne this week and 1,328 across Victoria.

 
This is the seventh week this year with in excess of 1,000 auctions. Bentleigh East has the most with 19 followed by 18 in Brighton and Reservoir.

 
Last week may have seen a small reduction in the clearance rate but at this stage it does not indicate a substantial change in market conditions. 

 
There is certainly no reduction in demand in the private sale market with time on market for houses dropping again, this week from 34 to 33 days. There was also a commensurate reduction in vendor discounting to -5.8% suggesting buyers are spending more in this competitive market.

 
This data reflects the overall situation which is seeing new residential listings increase compared to a year ago whilst the overall number of home for sale has reduced.

 
Key data

 
•       Clearance rate week ending November 10: 68.1%

•       Melbourne auctions expected week ending November 17: 1,178

•       Melbourne private sales time on market week ending November 10: 33 days (houses)

•       Melbourne vendor discounting market week ending November 10: -5.8% (houses)

•       Listings being prepared for market are 5.1% higher in month ending November 10.

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Robert Larocca is Victorian housing market specialist for RP Data.