Stability pinpointed in auction markets

The researcher tallied 882 homes taken to auction over the course of the week, down from 1,128 on the previous week and 1,533 the same time last year.

Of the 696 results collected so far, 67.5 per cent were successful, CoreLogic noted, adding that this is slightly lower than last week’s preliminary figure of 67.7 per cent, which later revised down to 59.8 per cent at final collection.

“Over the same week last year, a final clearance rate of 72.3 per cent was reported across the combined capitals. Auction activity came to a virtual halt in Melbourne this week with just 28 homes taken to auction,” CoreLogic said.

“The lower activity is not overly surprising given the city has been in stage 4 lockdown for the past five weeks, meaning both on-site auctions and private inspections are currently banned in Melbourne. Of the 24 results collected so far, just 33.3 per cent were successful, with all but one sold prior to the auction event.

“Two-thirds of Melbourne auctions were withdrawn this week, skewing the clearance rate lower. Over the previous week, 162 auctions were held across the city, while this time last year, 765 Melbourne homes were taken to auction.”

Meanwhile, Sydney saw 625 homes go under the hammer for the week concluding 6 September. This is down from 706 homes last week but up on the 528 this time last year.

“Of the 491 auction results collected so far, 69.5 per cent were successful, down from last week’s preliminary result of 74.0 per cent, which revised down to 64.2 per cent at final results,” CoreLogic said.

“This time last year, Sydney recorded a final auction clearance rate of 75.7 per cent.”

“Across the smaller markets, Canberra recorded the highest preliminary clearance rate of 78.6 per cent, across 70 auction results, followed by Adelaide with a preliminary clearance rate of 69.0 per cent across 42 results.”