Auctions Shake Off Winter Chill

Australia’s auction market has managed to shake off the winter chill with clearance rates holding steady.

Nationally, the preliminary auction clearance rate has been above 70% for eight consecutive weeks and was 72.3% last week, according to Cotality figures. The previous week it was 74.7% which is the highest rate since this time last year.

Sydney had the highest clearance rate last week of 74.9%,  Melbourne was 71.8%, Brisbane, 71.1%, the ACT, 65.8% and  Adelaide, 65.1%.

SQM Research managing director Louis Christopher says listings are still low, but he expects the pace to pick up leading into the Spring Selling season, which starts in about three weeks.

“The market is clearly stronger than where we were this time last year,” Christopher says.

“We believe that we’ll be seeing more first-time buyers enter the market in the second half of the year, particularly if we get another rate cut. A number of renters want to turn themselves into first-time buyers when they get the opportunity.”