Auction markets rebound as festive slowdown fades

CoreLogic notes rebound in auction activity

Auction markets rebound as festive slowdown fades

News

By Mina Martin

The festive period’s slowdown in auction markets is making way for a robust recovery, CoreLogic reported.

Last week marked a significant increase in auction activity with 1,399 homes taken to market, a sharp rise from 429 the previous week.

This upswing, however, falls short compared to the same period last year, when 1,712 homes were auctioned.

Clearance rates stabilise as market recovers

“The preliminary capital city clearance rate came in at 65%, which is roughly in line with the previous week (64.5%), which revised sharply lower, to 55.6%, once the full set of auction results were collected,” said Caitlin Fono (pictured above), a research analyst at CoreLogic Australia.

This consistency suggests a stabilisation in market conditions post-holidays.

Detailed city-wide auction outcomes

Melbourne saw 479 auctions last week, with an early clearance rate of 65.4%, a slight increase from the previous week’s 64.8%, which was later adjusted down to 55.7%.

In Sydney, 461 properties were auctioned, achieving a preliminary clearance rate of 67.5%, marking a significant improvement from the early rate of 59.5% the week prior, which eventually revised down to 54.2%.

Smaller capitals display varied results

In other capital cities, Brisbane led with 161 homes auctioned and a preliminary clearance rate of 58.7%. Adelaide followed closely, with 156 homes auctioned and an early clearance rate of 61.7%. Canberra witnessed 131 auctions, with a commendable early clearance rate of 68.7%.

Outlook: Increasing auction volumes anticipated

As the market progresses towards the Easter long weekend, auction volumes are expected to increase further. This trend is in line with historical data that typically shows a peak in auction activity in the week preceding Easter, CoreLogic reported.

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