During the last weekend as auction activity was increased, demand for real estate at the national level was high. More than 3,000 homes were reported last week to go under the hammer across Australia’s major cities, the busiest time since March 2018, with sales of 79 percent compared to the last week’s 69 percent clearance rate and significantly higher than a year ago’s 41 percent performance.
1,328 properties went to auction in Melbourne, recording a success rate of 74.4 percent. According to Domain Group, 80.4 percent of the 888 assets that went to auction were sold under the hammer in Sydney. The strong auction results during November coincided with another strong month for property price growth nationally, providing the strongest month-on-month gain since 2015, according to CoreLogic’s head of research, Tim Lawless.
There are 1,300 Melbourne homes arranged for auction this week, down from last week when 1,520 auctions were held, and up from the 1,173 held a year ago. In Sydney as opposed to the 976 auctions held last week, the number of homes scheduled for sale this week is expected to fall marginally with 909 scheduled to take place. A year ago during the same week, a lower 723 Sydney homes were taken to the auction.
The volumes across Brisbane, Canberra, Perth, and Tasmania are set to be higher across the smaller auction markets, while Adelaide will see fewer auctions held over the week. Results across the individual types of the property saw houses outperforming units nationally with an 80 percent success rate, while 76 percent of property units sold at auction. Domain economist Trent Wiltshire says the results point to the solid price growth as we transition into 2020. “Demand remains strong towards the end of the year,” he says.