Volumes open spring 31% down on last year, as clearance rates steady

In the opening week of the spring season, 1,462 homes were auctioned across the combined capital cities, a softer start than a year earlier, with volumes down 31.1%. Auction volumes were unchanged from the previous week, the fourth consecutive week in which they remained more than 30% below year-ago levels. Auction activity is anticipated to lift over the coming weeks, rising to around 1,640 this week and 1,900 next week.

The preliminary clearance rate for the combined capital cities remained steady at 52.7%, an increase of 25 basis points from the previous week's 52.4%. The spring season commenced with a preliminary rate only 41 basis points higher than the winter preliminary average of 52.3%.

Melbourne held the most auctions, with 662 homes going under the hammer, up 2.8% on the previous week, though 27.9% lower than the same week a year earlier. The preliminary clearance rate rose to 58.2%, up from 54.9% the previous week and a four-week high. Across Sydney, the preliminary clearance rate rose 1.4 percentage points to 57.7%, an 18-week high, on a relatively steady 523 homes auctioned, 2.8% higher than the previous week but 27.9% lower than the same period a year earlier.

In Brisbane, 133 homes went under the hammer, which was 8.9% fewer than the previous week and 7.6% below the same time last year, while the preliminary clearance rate remained subdued at just 24.8%, the second lowest of the year so far, after the 23.8% in the first week of June. Adelaide held 95 auctions, down 6.9% from the previous week but up 13.1% from the same week last year. Just 34.5% of auctions cleared, a significant 16.2 percentage-point decline and the lowest early clearance rate in the city since April 2020.

Canberra's preliminary clearance rate dropped to 36.7%, the lowest in seven weeks and well below the winter average of 45.4%. There were 35 auctions held last week, down roughly 27.1% from the previous week and half the number held a year ago. Perth held 13 auctions, and a third (33.3%) sold. Only one auction took place in Tasmania.