Published on March 13th, 2018
Looking at the last quarter: clearance rates and salesBoth buyers and sellers can benefit from researching the latest clearance rates in your area. For sellers, it’s an indicator of market demand that will help you set the right price for your property. For buyers, searching through sales data can be a brilliant way to shed light on market trends and seasonal changes in sales to find new opportunities.
The auction market in Australia is reviewed quarterly, with the last published quarter being 2 October to 17 December 2017.
This many numbers in one place can be dry, so make yourself comfortable, grab a drink, and we’ll work through them together.
Overall trendsBoth auction and clearance rates were up around the country compared to the September quarter, with an additional 4,455 properties auctioned within the capital cities.
That might reflect the warmer weather enticing people out to buy, but the annual trend is also encouraging for most of the country. Most city clearance rates came in within 1 – 5% of the December 2016 quarter. The exceptions are Melbourne, which soared from 68.1% to 77.5%, and Sydney, which fell from 78.4% to a mere 57.7% in 2017.
Melbourne or Sydney?Most of the action was in Melbourne and Sydney, as reflects their larger populations.
Melbourne played host to a total of 15,768 auctions. This increased by 2,705 from the September quarter. Coming in just behind was Sydney, which held 11,252 auctions.
A slight jump in TasmaniaThere were 95 auctions in Tasmania in this latest October-December period, compared to 76 auctions in the previous September quarter. That’s a trend that looks to continue, with mainlanders discovering the cheaper properties and incredible lifestyle on offer.
More auctions in the NTThe Northern Territory is also enjoying a resurgence of auction action. December 2016 reported 117 auctions for the quarter. That figure leapt up to 154 for the same time period one year later.
Numbers within capital citiesThe following outlines the amount of auctions and clearance rates from 2 October-17 December, 2017:
|Capital City||Clearance Rate||Volumes|
|Melbourne||68.1 %||(15,768 auctions)|
|Brisbane||46.7 %||(2,012 auctions)|
|Adelaide||63.3 %||(1,524 auctions)|
|Perth||39.7 %||(565 auctions)|
|Tasmania||57.3 %||(95 auctions)|
|Canberra||66.3 %||(1,192 auctions)|
|Combined capitals||62.3 %||(32,408 auctions)|
Suburban numbersThese are the areas that had the highest clearance rates within each city:
Bentleigh East in Melbourne saw 165 auctions held, its clearance rate being 72.4%.
The suburb of Reservoir in Melbourne topped the list of highest auction numbers in Melbourne, at 253 for the quarter.
Non-capital citiesWhen we look at marked changes outside of capital cities, the Hunter region experienced the biggest reduction in clearance rates.
On the flip side, Geelong came out front, being the only region to see an increase compared to the September quarter.
It became interesting in the Gold Coast – it was the busiest region for auction volumes, with a total of 752 auctions. However, the clearance rate in this sunny part of Queensland was 39%.
Whichever side of the property market you’re on, getting closer to data such as this will help you get a clearer picture of what’s going under the hammer. Maybe you’ll find a new opportunity around the corner at the next auction you attend.
Data from CoreLogic