Sydney's preliminary clearance rate dips below 70% for the first time since March
After a positive trend in recent weeks, auction activity in the combined capitals took a dip, seeing an 11.7% decrease this week, according to new data from CoreLogic.
A total of 1,742 auctions were held, down from the 1,973 auctions held the previous week. However, this week's numbers are on par with the 1,734 auctions held two weeks ago and exceed the 1,471 auctions held at the same time last year.
With 1,320 results collected thus far, the preliminary clearance rate for the combined capitals experienced an upward shift, reaching 71%, CoreLogic reported. This increase of 80 basis points compared to the previous week's preliminary rate of 70.2% (which was later revised to 64.9% as final numbers emerged) marks the first rise in three weeks. In the corresponding week last year, a final clearance rate of 56.6% was reported.
Sydney saw 702 homes auctioned, reflecting a decline of 6.3% from the 749 homes auctioned the previous week, CoreLogic reported. Of the 544 results collected so far, Sydney's preliminary clearance rate stood at 69.1%, falling below the 70% mark for the first time since mid-March. The decline in clearance rate was accompanied by an increase in the withdrawal rate, rising from 11.9% to 16.9%, while the number of properties passed in at auction decreased from 21.4% to 14.0%. Compared to the previous week's preliminary rate of 72.4%, Sydney's current rate of 69.1% indicates a 3.3 percentage point decrease (66.7% at final numbers). Last year, Sydney achieved a clearance rate of 56.4% from the 480 auctions held.
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Melbourne, after experiencing its busiest auction week since April, posted a 12.5% decline in auction numbers this week, according to CoreLogic. A total of 761 homes were auctioned across the city, with 71.9% of the 604 results collected so far returning a successful outcome. Melbourne's preliminary clearance rate rose above the 70% mark after two consecutive weeks of fall. The previous week's preliminary rate of 69.9% (revised to 63.7% after final figures) was two percentage points lower. In comparison, during the same week last year, Melbourne had 619 auctions with a final clearance rate of 58.4%.
Smaller capitals
In the smaller capital cities, Adelaide recorded a decline of 7.9% in auction activity, yet it remained the busiest auction market with 105 homes going under the hammer. Brisbane saw 83 auctions, which marked the quietest week since Easter, while Canberra experienced its busiest week in 12 weeks, hosting 82 auctions, CoreLogic reported.
Brisbane achieved its highest preliminary rate since early June at 76.9%, with 74.6% of auctions reporting a successful result. Canberra observed an 80 basis point increase in its preliminary clearance rate, reaching 71.4%. However, Adelaide witnessed a decrease of 6.1 percentage points, settling at 76.7%.
Perth and Tasmania reported lower auction activity, with only two successful results out of five auctions in Perth, and one successful auction out of two in Tasmania, according to CoreLogic.
Next week is expected to see a rebound in auction activity, with nearly 2,000 capital city homes currently slated for auction.
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