Australian auction clearance rates continued to lift last week, fitting with recent strength in house prices in the nation’s largest housing markets, Sydney and Melbourne.
According to preliminary figures released by CoreLogic, the national auction clearance rate increased to 70.7%, up from 67.7% reported for the previous corresponding week.
Of the 1,953 properties that went to auction the group received results from 1,533, with 1,089 auctions cleared. The group will release finalised figures on Thursday this week.
Given inclement weather across Australia’s eastern seaboard over the weekend, it was a robust result.
As has been the case for some time now, the strength was concentrated in the Sydney and Melbourne markets which recorded preliminary clearance rates of 76.7% and 71.4% respectively.
Although lower than a year ago, they remain at levels that have historically heralded solid house price gains in both markets.
The table below, supplied by CoreLogic, reveals the breakdown of the national figure by capital city, comparing the results to those of the same week a year earlier.
Despite the solid increase in the national auction clearance rate, the figure didn’t translate into higher house prices — at least not yet — with the separate capital city home value index falling 0.2% last week.
According to CoreLogic, prices fell by 0.4% apiece in Adelaide and Perth, outpacing drops of 0.3% in Sydney and Brisbane. Melbourne was the exception of the rule with prices remaining steady compared to a week earlier.
Over the past four weeks prices nationally have increased by 0.2%, led by gains in the Sydney property market of 0.8%.
Year to date prices nationally have jumped by 4.6%, largely due to a substantial 7.4% gain in Sydney property prices.