The south east Queensland auction clearance rate topped 48 per cent last week following three weeks of steady rises in sales numbers, independent auctioneering company Jason Andrew Auctioneers has reported.
The result, which was based on 42 auctions, was due to “growing pressure for buyers and sellers to finalise a deal prior to Christmas,” the company said.
“Buyer activity was noticeably higher during the week with an average of 1.76 registrations per auction. This is close to double the year-to-date average of 1.04 and three and a half times the year to date average for 2010 of 54 per cent.”
Australian Property Monitors (APM) said Brisbane recorded a 20 per cent clearance rate on Saturday, based on 24 reported auctions.
Director Jason Andrew said the increased clearance rate appears to be coming without a need for individual vendors to significantly shift their expectations more than the percentage drop recorded over recent months.
The average shift for sales – or the amount vendors discount their reserve price - made on auction day last week was 8.3 per cent, up from 8 per cent the previous week, Mr Andrew said.
“We recorded an average shift for properties sold under the hammer of 7.2 per cent for the September quarter and 7.4 per cent across spring,” he said.
“This level is just below the shift we saw last week, indicating that buyers are seeing real value at current market prices and are prepared to act without the need for individual vendors to drop their expectations much further than over recent months.
“This is not to say vendors can expect a premium, more that a higher number of vendors are prepared to accept current market value and a greater number of buyers believe prices have reached the tipping point and it has become prudent to act now.
“With just two weeks of trade until the market effectively closes for the Christmas break and an unpredictable year ahead, the window of opportunity to trade in this atmosphere of heightened activity may well be limited.”