Preliminary auction clearance rates fell modestly last week as footy finals in Melbourne and Sydney saw a substantial drop in volumes.
According to Corelogic, 953 auctions were held across the country last week, well below the 2,782 level of the previous week. Despite the substantial drop, the number of auctions was slightly higher than the same corresponding week in 2016 when 872 properties went under the hammer.
Of the major markets, Melbourne recorded the strongest preliminary clearance rate of any city at 89.4%, topping strong performance from Adelaide, Canberra and Perth of 79.3%, 75.7% and 75% respectively.
Sydney, on the other hand, continued to underperform with a clearance rate of 69.1% reported.
As a result of the mixed individual performance, a preliminary national clearance rate of 69.4% was reported, below the 70.7% level of one week earlier.
Given the tendency for preliminary figures to be revised lower, there’s a risk that the final clearance rate for the week — released on Thursday — could fall to levels not seen since early 2016.
Last week’s national final clearance rate stood at 66.7%.
Reflecting continued strength in Melbourne clearance rates, prices in the city grew by 0.3% last week, outpacing gains in all other mainland state capitals. Elsewhere prices rose by 0.2% in Brisbane and 0.1% in Perth, offsetting decline of 0.1% in Sydney and Adelaide.
In average weighted terms, prices across the country grew 0.1% for the week, leaving the change over the month at 0.2%.