Auction clearance rates in Sydney and Melbourne dipped again last week

Getty Images
  • Finalised weekly data from CoreLogic showed auction clearance rates fell in Sydney and Melbourne for the second straight week.
  • Despite that, CoreLogic said auction clearance numbers are steadier than the last major housing downturn in 2012.
  • Across Australia‚Äôs combined capitals, auction volumes this weekend are expected to be little-changed from the previous week.

Auction clearance rates in Sydney and Melbourne fell for the second straight week, finalised data from CoreLogic shows.

Sydney’s final clearance rate came in at 51.9%, down from 52.4% the previous week. The total number of auctions in the Sydney market fell to 462 from 469.

Melbourne had a success rate of 57% across 629 auctions, down from 58.5% out of 802 auctions.

Across Australia’s combined capital cities, clearance rates fell to 54% from 55.6%, which in turn marked a decrease from 57% in the week prior.

CoreLogic

Total auctions fell to 1,324, down well over 10% from the previous week’s total of 1,535.

So despite some weekly volatility in auction volumes, a fall in the number of properties brought to market didn’t act as a catalyst for higher clearance rates.

However, CoreLogic said recent data is indicative of some steadiness in the market.

“While the weighted average was down over the week, combined clearance rates have levelled out somewhat remaining within the low to mid 50% range for 13 consecutive weeks,” CoreLogic said.

“Despite the continued slowing in the market, clearance rates are still tracking higher each week relative to the same period in 2012, during the last significant downturn in home values.”

Across the smaller markets, Adelaide and Tasmania recorded a higher success rate last week, while fewer homes sold in Brisbane, Canberra and Perth.

Looking to the weekend ahead, CoreLogic expects total volumes across Australia’s combined capitals to remain steady at around 1,320 auctions.

Melbourne is expected to see a slight uptick while less homes will go to market in Sydney.

“Activity is set to be lower week-on week across Brisbane, Canberra and Tasmania, while Adelaide and Perth will see an increase in the number of auctions held,” CoreLogic said.

Weekly house price data from CoreLogic on Monday showed house prices continued to edge lower last week, with annual declines in the Sydney market now reaching 5.5%.

NOW WATCH: Money & Markets videos

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.