This past Saturday (October 19) saw a strong showing in Australia’s property market as the spring selling season hit its stride. Auction results from major cities like Sydney, Melbourne, and Brisbane revealed solid performances, with national clearance rates continuing to improve compared to previous weeks. The latest data from CoreLogic, alongside insights from Ray White and commentary from real estate experts, paints a vivid picture of an active market filled with high levels of buyer interest.
Auction results breakdown
On Saturday, 19 October 2024, Sydney recorded a clearance rate of 67% from 996 auctions listed. Of the 546 auctions reported, 366 properties were successfully sold, generating a total value of $434.4 million. The median auction price for houses in Sydney climbed to $1,920,000, while the median for units was $960,000. The city’s clearance rate saw a modest improvement from 62% the previous week and was also up from 64.7% on the same weekend last year.
In Melbourne, auction activity was similarly robust, with 1,056 auctions listed and 702 reported, resulting in 446 sales and a clearance rate of 63.5%. This marked an increase from the previous week’s 56.6% clearance rate. Melbourne’s total sales value for the weekend reached $341.5 million, with a median auction price of $1,062,500 for houses and $677,500 for units. Compared to the same time last year, Melbourne also showed steady growth, up from a clearance rate of 59.8%.
Nationally, auction clearance rates reflected positive momentum across the board, with 2,373 auctions listed and 1,413 reported, leading to 900 properties sold and a clearance rate of 63.7%. The total value of properties sold amounted to $847.4 million, while median auction prices for houses and units were $1,320,000 and $835,000 respectively. This week’s national clearance rate saw a noticeable improvement from 58.4% last week and a year-on-year increase from 60.1%.
CoreLogic market insights
Commenting on the weekend’s auction results, CoreLogic research director Tim Lawless noted, “The preliminary auction clearance rate edged higher this week, rising to 67.4% from 66.6% the week prior (which was revised lower to 60.8% on final numbers).” Despite the slight reduction in the number of auctions, down from 2,598 the previous week to 2,510, the market demonstrated solid resilience and buyer demand.
Sydney’s preliminary clearance rate reached 70.5%, the highest in five weeks, with 978 auctions held. This demonstrates the strength of the market, with a noticeable shift in buyer confidence. Melbourne, meanwhile, saw 1,069 auctions, marking the third consecutive week where the city has held over 1,000 auctions, and recorded a preliminary clearance rate of 69.2%, the highest in six weeks.
However, not all cities experienced the same level of success. Brisbane, which had the highest number of auctions among smaller capitals with 227 properties, reported a weaker result, with a 47.6% clearance rate, the lowest since late April 2023. In contrast, Adelaide performed well, with 145 auctions returning a 72.0% clearance rate, the strongest result in three weeks. Canberra, with 71 auctions, reported a preliminary clearance rate of 55.6%.
Looking ahead, Lawless commented, “More than 3,000 homes are scheduled for auction next week, providing a timely test of the market’s depth.” This significant uptick in auction volume will offer insight into how the market continues to handle the pressures of spring selling season.
Ray White auction insights
Ray White, Australasia’s largest real estate group, reported an even stronger weekend performance, boasting a 68% preliminary clearance rate from 471 auctions across the country, with an average of 4.1 registered bidders per auction.
The most notable city for Ray White was Brisbane, where an impressive 93% clearance rate was achieved, far outpacing the national average. One of the standout sales of the weekend came from the Gold Coast, where 82 Admiralty Drive, Surfers Paradise sold for $4.3 million under the hammer. Robbie Graham, from Ray White Prestige Gold Coast, noted that all five registered bidders were local residents from the Paradise Waters area, indicating a strong preference for local buyers in premium locations.
Adelaide also had a remarkable showing, with 22 Cawarra Crescent, Paralowie attracting a 23 registered bidders. The property sold under the hammer for $605,500, significantly exceeding the reserve price of $493,000. This high level of competition illustrates the demand for more affordable homes, particularly in regions outside major metropolitan areas.
On the buyer engagement front, Ray White agents met 25,732 groups at open homes around the country over the weekend. The property that saw the highest number of attendees was 684 Wellington Road, Mulgrave in Melbourne, where 48 groups inspected the home, reflecting Melbourne’s continued demand for housing options.
Looking ahead
The Australian property market continues to show strength as the spring selling season progresses. Sydney and Melbourne, as the two largest markets, have posted improved clearance rates compared to previous weeks, signalling increased buyer interest and activity. Ray White’s results further emphasise the strong demand across the country, particularly in cities like Brisbane and Adelaide, where competitive bidding and local buyer engagement are on the rise.
With over 3,000 auctions scheduled for the coming weekend, this will serve as a key test for the market’s ability to sustain its current momentum. Whether the auction clearance rates will continue to rise or level out remains to be seen, but the early indicators suggest that the market remains in a healthy and active state heading deeper into spring.
