With 2,441 homes going under the hammer, Australia sees one of the busiest auction weeks of the year
Last week, the combined capital cities in Australia witnessed a surge in auction activity, with 2,441 homes going under the hammer, according to data from CoreLogic.
This marked the second busiest auction week since late September and the fourth busiest week of the year so far. The number of auctions increased by 7.3% compared to the previous week and was 12.5% higher than the same period last year.
The preliminary clearance rate for the combined capitals also saw a positive trend, rising by 90 basis points to reach 70.8%, CoreLogic reported. This marked a return above the 70% mark after the previous week's rate fell below it for the first time in 24 weeks. The improved clearance rate indicates a rebound in buyer confidence. In comparison, this time last year, the clearance rate stood at 60.7%.
Sydney, the largest auction market, maintained steady auction activity with 896 homes going under the hammer, slightly up from the previous week. The preliminary clearance rate in Sydney reached its highest point of the month at 74.2%, accompanied by a decrease in the number of properties passed in at auction. The withdrawal rate and clearance rate were both at 12.9%, indicating a positive market sentiment. In the same period last year, Sydney recorded a final clearance rate of 60.4%, CoreLogic reported.
Melbourne, the busiest auction market, hosted 1,107 auctions, showing a 7.6% increase compared to the previous week. However, it was slightly lower (-4.8%) than the number of auctions held during the same period last year. Melbourne's preliminary clearance rate remained steady at 68.6%, indicating a consistent market performance. Last year, the final clearance rate for Melbourne was 62.0%.
Smaller capitals
Among the smaller capital cities, Adelaide experienced the highest number of auctions (173) and the highest preliminary clearance rate at 83.8%, CoreLogic reported. Brisbane recorded a preliminary clearance rate of 66.1%, while Canberra saw 53.3% of auctions resulting in a successful outcome. Perth and Tasmania had fewer auctions, with limited data available for analysis.
Looking ahead, the upcoming week is anticipated to be a "Super Saturday" event, with nearly 2,900 homes scheduled for auction across the combined capital cities, according to CoreLogic. This surge in auction activity, coupled with an additional 600 auctions throughout the week, is expected to make it the busiest week since before Easter last year.
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