- All sources show a rise in auctions being cleared
- Sydney witnessed rises despite the extended lockdown
Data collected by CoreLogic, Domain and SQM Research has revealed despite disruptions fuelled by multiple lockdowns, auctions clearance rates are on the rise.
According to CoreLogic, 2,077 homes were scheduled to go to auction this week across the capital cities, however, this was revised down to 1,806.
Of the preliminary results collected so far, the clearance rate is 79.2% nationally.
In Sydney, the preliminary clearance rate is 80.8% – higher than the 74.8% preliminary rate collected last week and significantly higher than the 60.7% rate from the same time last year.
Melbourne’s clearance rate continues to improve given the city is now out of lockdown, with a rate of 77.1% – also higher than the 71.9% preliminary figure garnered last week.
According to Domain, last weekend saw 623 properties go to auction with a clearance rate of 74.8%.
“As the lockdown continues we do expect to see a slight drop in the number of properties going to auction but with private inspections still allowed and increased confidence in transacting online, many Sydneysiders will opt to auction their property online,” Domain’s senior research analyst, Dr Nicola Powell, told The Property Tribune.
Dr Powell also believes given the return of on-street auctions in Melbourne and Adelaide, vendors are likely to catch up with auctions cancelled cause of the restrictions.
“Melbourne and Adelaide auction numbers look set to hold steady over the next few weeks as many of those who postponed their auctions start to re-schedule.”
Dr Nicola Powell, Domain
According to SQM, which includes postponed and cancelled auctions when calculating the clearance rate, auctions cleared has risen to 61.4% in Sydney, its highest level since late June.
Auction Clearance Rate
[Select part of the chart to zoom in on various years, and ‘reset zoom’ button to return]
Despite the extended lockdown, vendors and agents are pivoting sales strategies with many properties being sold before the auction compared to non-lockdown periods – a view shared by Real Estate Institute of New South Wales (REINSW) CEO, Tim McKibbin.