- Australian auction clearance rates remain near multi-year lows, but appear to be stabilising.
- Median home prices in Sydney and Melbourne continue to decline, albeit there’s few signs of an acceleration.
- With school holidays underway across the country, auction volumes will fall substantially this week.
Australian auction clearance rates remain near multi-year lows, but appear to be stabilising.
According to final figures released by CoreLogic, a combined capital city clearance rate of 52.6% was achieved last week, unchanged from the level seen in the final week of June.
Reflecting the start of school holidays across the country, as well the usual seasonal slowdown seen over winter, auction volumes continued to fall, dropping to 1,411 from 1,671 a week earlier.
CoreLogic received results from 1,221. Of those, 645 properties sold while 576 went uncleared.
While its hard to seen in the chart below, after falling steadily since early 2017, national clearance rates appear to have stabilised for the moment.
“Clearance rates have remained relatively consistent over the past two months, remaining with in the low to mid 50% range,” CoreLogic says.
By individual capital, a decline in Melbourne’s clearance rate was offset by modest improvements in most other capital city markets, including Sydney.
Melbourne’s clearance rate fell to 56.1% from 57.2% despite volumes falling to 631 from 791 a week earlier. Sydney’s rate stood at 50.1%, a small improvement from 49.7% achieved in late June. Fewer properties went under the hammer, dropping from 634 to 552 week-on-week.
Both cities saw their median home price fall 0.1% over the week.
Clearance rates in Brisbane, Perth and Tasmania also improved while those in Adelaide and Canberra fell.
Turning to the weekend ahead, auction volumes will fall sharply with just 1,100 being monitored by CoreLogic, well below the 1,627 seen in the same corresponding week a year ago.
520 look set to take place in Melbourne, and just 389 in Sydney. Activity levels will also drop in all other capital city markets except for Adelaide.
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