Total Members: 158,197

NEWS: Property Investing and Real Estate In Australia

Has The Worm Finally Turned?

Date: 04/08/2015

Results for week ending August 2

Auction clearance rates were strong again in Sydney and Melbourne with clearance rates of 78.8 percent and 76.8 percent respectively. The national result came in at 77.7 percent.

The Stat

Sydney, often seen as the canary for Aussie property, has now experienced auction clearance rates below 80 percent for four consecutive weeks.

The Graph

graph

The Numbers

Auction Clearance Rates

Clearance Rate

Auctions

Sydney

78.8%

642

Melbourne

76.8%

655

Brisbane

60.6%

94

Adelaide

71.9%

57

Perth

43.8%

16

Tasmania

33.0%

6

Canberra

79.2%

40

 Source: Corelogic RP Data

 

The Analysis

Sydney’s auction market suffered a hit on two fronts last weekend: both the number of houses auctioned fell, as did the overall clearance rate. Melbourne is well off its Autumn peak too.

What It Means For Investors

With fires raging in the Blue Mountains it is easy to forget we’re in the middle of winter. But the cold seems to be biting into auction clearance rates in Sydney and Melbourne. Only time will tell, but with banks raising interest rates for investors, and with a dip in auction clearances, there are clear signs that the market has peaked. We will know for sure if early spring property sales are lacklustre.

Profile photo of Steve McKnight

By Steve McKnight

Steve McKnight, the founder of PropertyInvesting.com, is a respected property investing authority as well as Australia's #1 best-selling business author.

Comments

  1. Profile photo of Benny

    Hi Steve,

    Since watching these over the past months, Brisbane’s clearance rate has almost been GLUED to 50%. And today, 60%+ – woohoo. Sign of things yet to come?

    I note it is still on a low total number when compared with Syd and Mel – but hey “There was movement at the station for the word had got around – that the colt called Brisbane has got away to a flyer….” (Sorry, Banjo)

    :p

    Benny

    • Profile photo of Steve McKnight

      Hi Benny,

      Unfortunately, because so few auctions happen in Brisbane it is easy for the results to experience dramatic movements week to week.

      Maybe as more ‘southerners’ move up north there will be more auctions, but for the moment I would pay more attention to the number of listings, days on market and discounting to sale. These figures are reported in Australian Property Investor.

      – Steve

Got something to say? Post a comment...

Step 1 - 0% Complete

Fill Out Your Member Profile Below

Fill in the required fields below to complete your registration.

Registration not only grants you full access to this website, but will also enable us to send you our newsletter, latest investor tips, strategies and information about events/products relevant to investors. You can opt out at any time.

For correspondence purposes. Will not be visible to anyone.

Used to log in to the website and for targeting with messages. Alphanumeric characters only. No spaces allowed..

Member Login
Lost your password?
×
158,197

Register Free To Unlock Unrestricted Access To PropertyInvesting.com

×
1-Day Millionaire Mastermind Workshop - Only LIVE Training in 2019!