Preliminary data from CoreLogic indicate clearance rates rose in Sydney on the weekend, despite another flood of homes hitting the market.
There were 3,409 auctions across Australia’s capitals, surpassing the previous week’s 3,390 as the third busiest week of 2017.
“Once final results are collected, the combined capital city clearance rate tends to revise down so at this stage it’s looking like the final clearance rate on Thursday will be in the mid to low 60% range for the sixth week in a row,” CoreLogic said.
The weighted average clearance rate of 66.9% was up slightly from the previous week’s average of 65.4%.
There were 1,200 auctions in Sydney on the weekend, with the market coming off a tough week where the final clearance rate fell to just 54.8% — the lowest level in almost two years.
That followed a preliminary clearance rate of just 61.5%, which rose to 66.2% on the weekend — the highest level since the first week of November.
“The final clearance rate for Sydney has been sitting below 60% for the last 4 weeks so it will be interesting to see what happens this week,” CoreLogic said.
Auction clearance rates in the mid-50’s are generally consistent with price declines in the Sydney market.
Preliminary clearance rates dipped slightly in Melbourne last week, down to 69.0% from 69.6%.
Last week’s figure preceded a final reading of 66.9%, the lowest final clearance rate in Melbourne since July 2016.
The Brisbane market had a noticeable pickup in preliminary clearance rates, rising to 57.6% from 49.6% in the week prior, while Adelaide and Canberra were steady.
Tasmania and Perth had a quieter week of activity compared to the other capitals, with around half the number of auctions from the previous week and preliminary clearance rates of less than 40%.
This week’s data from CoreLogic didn’t include an update on weekly house price movements, ahead of monthly house price data for November scheduled for release on Friday.