Finance Property Property market heats up in second-busiest auction week of 2019

Property market heats up in second-busiest auction week of 2019

Killara in Hawthorn East.
Killara in Hawthorn East features a cottage-inspired garden. Photo: Jellis Craig
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There were 2837 homes taken to auction across the combined capital cities over the past seven days, returning a preliminary auction clearance rate of 74.5 per cent.

It was the second busiest auction week of the year.

The previous week had been the busiest auction week of the year, with 3206 auctions held.

It netted the final clearance rate of 73.6 per cent.

Over the same week in December 2018, auction volumes were lower, with 2631 homes going under the hammer across the combined capital cities, returning a final auction clearance rate of just 41 per cent.

Sydney had the highest weekend success rate with the top sale being $6.5 million at Northbridge.

There were 936 auctions held in Sydney this week, returning a preliminary clearance rate of 78 per cent.

It was down on the 1221 auctions held over the prior week when the final auction clearance rate was 78 per cent.

One year ago, 870 auctions were held and the clearance rate came in at 41 per cent.

The 3 Woonona Rd, Northbridge top sale was a five-bedroom contemporary home.

3 Woonoona Road
This contemporary home sports a golf course view. Photo: Richardson & Wrench

Every Sydney sub-region with at least 10 sales returned a clearance rate higher than 60 per cent, with 10 sub-regions returning a clearance rate over 70 per cent, and  five regions reporting a clearance rate over 80 per cent.

The city and inner west region had the highest preliminary clearance rate, at 86 per cent across 60 results, followed by Blacktown at 85 per cent across 28 results and North Sydney-Hornsby returning a preliminary clearance rate of 85 per cent from 100 results.

In Melbourne, a preliminary auction clearance rate of 75 per cent was recorded across 1491 auctions this week, while last week there were 1533 auctions returning a final clearance rate of 74 per cent.

One year ago, the clearance rate was just 43 per cent across 1283 auctions.

A $4.52 million sale at 29 Ryeburne Avenue, Hawthorn East was Melbourne’s top sale through Jellis Craig.

Killara in Hawthorne East.
Killara was Melbourne’s top sale. Photo: Jellis Craig

Killara, a five-bedroom home had last sold for $2.75 million in 2012.

Its price guidance had been $4 million to $4.4 million.

Two empty shell apartments in St Kilda’s former Gatwick Hotel, not renovated as part of the 2018 season of Nine’s reality renovation TV show The Block, were sold post auction as one package.

An empty ground-floor apartment in the Gatwick Hotel.
Not quite the luxurious renovated apartments featured in The BlockPhoto: The Agency

The empty ground-floor units listed through The Agency fetched $1,710,000 in post-auction negotiations, Domain reported.

Melbourne had the nation’s cheapest sale when $172,000 was paid for 104/224-226 Burwood Hwy, Burwood opposite Deakin University.

The one-bedroom unit was rented for $330 a week, according to Fletchers, who had given a $150,000 to $165,000 price guidance.

Burwood apartment.
This one bedroom apartment sits opposite Deakin University. Photo: Fletchers

Across the smaller auction markets, Canberra saw a 74 per cent success rate.

Adelaide had the highest volume of auctions with 146 homes going under the hammer, returning a preliminary clearance rate of 61.8 per cent.

Brisbane saw one of its strongest success rate this spring at 64 per cent.

Kedron saw a record price paid when Ray White sold 47 Thirteenth Avenue for $1,720,000, beating the previous record by around $50,000.

After more than 150 groups attended the opens, the new five-bedroom home sold to a couple from Sydney.

The building block cost $749,000 earlier this year.

“Auction markets have been tested on higher volumes over the past few weeks, with the highest number of auctions held so far this year,” Tim Lawless at CoreLogic said.

“Despite higher supply levels, clearance rates have held above 70 per cent across the largest markets, demonstrating the market has some depth and sellers remain in a strong position.”

Jonathan Chancellor is editor at large at Property Observer

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