A lack of stock means home buyers are becoming more aggressive with more than three-quarters of homes listed for auction selling under the hammer.
Listing rates are down about 13% on the same time last year with the national auction clearance rate last week hitting 74.5% according to CoreLogic figures.
Adelaide continues to achieve the highest auction clearance rate of all the capital cities, with 86.2% of properties selling under the hammer, followed by Canberra, 76.3%, Sydney, 75.6%, and Melbourne 72.8%.
Brisbane’s clearance rate is starting to climb again and hit 69.1% last week.
Louis Christopher, of SQM Research, says there is still little sign of any increase in distressed sales in the market despite months of rising rates.
He says even though the RBA did not move rates at the start of July, it is not enough to return confidence to the market.
“I think there is a renewed sense of caution in the market,” he says.