As the spring season progresses, auction activity across the combined capital cities remains steady, with 2,285 homes going under the hammer last week. This number is practically unchanged compared to the previous week’s 2,286 auctions and is 19.1% higher than the same period last year, when the market witnessed a sluggish start to the spring selling season.
The combined capital’s preliminary clearance rate experienced a small increase for the first time in three weeks, rising by 50 basis points to 71.7%. This uptick was primarily driven by buyers, as the percentage of properties passed in at auction dropped to its lowest level since mid-March 2022 at 19.1%. On the other hand, the vendor withdrawal rate rose by 1.9 percentage points to 9.5%.
Comparing the capital cities, Sydney hosted 907 auctions last week – just six fewer than the week before and 29.9% higher than the same time last year. However, Sydney’s preliminary clearance rate continued on a downward trend, falling to 73.4%. In contrast, Melbourne surpassed 1,000 auctions for the third consecutive week, with 1,013 homes going under the hammer. The city recorded a preliminary clearance rate of 71.5% – its highest in three weeks.
Among the smaller capital cities, Adelaide had its busiest auction week since late April, witnessing a 26.2% increase in auctions compared to the previous week. Brisbane’s auction activity decreased by 15.4%, while Canberra’s weekly numbers fell by 5.3%. Of these cities, Adelaide had the highest preliminary clearance rate at 88.9%, followed by Brisbane and Canberra at 59.0% and 53.2%, respectively.
With just under 2,450 auctions scheduled across the combined capitals this week, this year’s spring selling season appears to be busier than last year. The clearance rate will be a crucial indicator to observe, as it sheds light on the market’s ability to absorb the additional supplies.
It’s important to note that these results are preliminary, and final auction clearance rates will be published each Thursday. On average, CoreLogic collects 99% of auction results every week, contributing to an accurate representation of the market performance during the ongoing spring season.
The rise in auction activity and clearance rates, especially in cities like Melbourne and Adelaide, indicates a robust property market during this year’s spring selling season. Buyers and sellers can expect a healthy level of competition, making it essential to stay updated with the latest market trends and statistics.
As we continue to navigate the spring selling season, it’s crucial for buyers and sellers alike to keep a close eye on auction clearance rates and activity levels in their respective markets. By staying informed and understanding the current market conditions, you can make well-informed decisions when it comes to buying or selling a property. So, keep an eye on the latest data and developments, and take advantage of the bustling spring property market.
