CoreLogic's Property Market Indicator Summary has revealed that combined capital cities saw fewer homes taken to auction this week with a total of 1,400 held, down from the previous week when 1,671 auctions took place.

The lower week-on-week activity returned a preliminary auction clearance of 55.9 per cent, higher than the previous week's final clearance rate of 52.6 per cent. However, CoreLogic expects the final auction clearance could be lower in relation to last week's as more results flow through.

According to Di Jones, solid interest from buyers continually results in strong activity at auctions despite the slowing of the market. 

Source: CoreLogic Property Market Indicator Summary

Sydney

In Sydney, 55.1 per cent of properties sold this week, up from last week when the final results saw less than half of Sydney homes successful at auction (49.7 per cent). However, there were fewer auctions held this week compared to last with 544 homes taken to market down from the 634 auctions. 

From this, Real Estate Institute of New South Wales (REINSW) President Leanne Pilkington notes, "It is clear that homeowners are rethinking their plans to move in line with falling house prices."

James Smyth of Smyth Estate Agents spoke to WILLIAMS MEDIA about his Surfers Parade, Freshwater auction that reached a sold street record of $2.73 million, the highest sold price achieved in the street.  

11 Surfers Parade, Freshwater, NSW 2096, sold prior to auction for $2.73 million by James Smyth of SEA. As featured on Luxury List. Source: SEA

"This property marks my 22nd sale on the street in the last 19 years," he told WILLIAMS MEDIA. 

"The property encouraged extremely high engagement with 109 people coming through," he said, "interest came from all over for this property, and in the end, the negotiations and eventual sale occurred prior to auction."

Smyth acknowledges that the state of the market has made it difficult for buyers to secure loans, but that there is an increased level of passive buyers in the marketplace. "If a particular property triggers interest and the price is right, these passive buyers can quickly become the end buyer."

Darren Curtis of Ken Jacobs confirms to WILLIAMS MEDIA, "While overall numbers may be down, those that are looking to buy tend to be more serious and the quality of their enquiry is higher."

Melbourne

Melbourne saw a recorded clearance rate of 62 per cent, down from the previous week's 63 per cent and lower than the 76 per cent recorded this time last year. 

441 auctions were reported to the Real Estate Insitute of Victoria (REIV), with 272 selling and 169 being passed in, significantly lower than the 684 held last week. 

REIV CEO Gil King comments, "More than 3,500 homes went into auction last month, the highest number ever recorded for the month of June." 

Angelo Nikitas of Buxton told WILLIAMS MEDIA "despite what the market is doing, or rather what people think the market is doing, good properties always perform well."

10A Kurrajong Street, VIC, 3165 sold at auction for $1.2 million by Angelo Nikitas of Buxton. As featured on Luxury List.  Source: Buxton

"Buyers are more selective now, and are becoming more selective in sourcing good quality real estate," he said.

"The Bentleigh East property which sold on auction for $1.2 million has a great floorplan and fit-out and was well positioned within the Coatesville Primary School Zone. All features that buyers look for when selecting their real estate."

Nikitas' advice to those looking to enter the market at this time is simple: "Don't base your bidding strategy on what you think the market is doing," said. "Make your decision based on your life plan and where you want to be in the next 10 to 20 years. It usually means you'll come out on top in the end."

Brisbane

In Brisbane, Shane Hicks of Place sold a Norman Park property at auction for $1.05 million. 

"We've noticed a great deal of interstate and overseas buyers, particularly our own expats returning to Australia to buy real estate," Hicks told WILLIAMS MEDIA, "And Queensland seems a favourite spot to settle."

90A Morehead Avenue, QLD, 4170, sold at auction for $1.05 million by Shane Hicks of Place. As featured on Luxury List. Source: Place

"This influx keeps the market going very well, and we're seeing modest growth." 

"We are still experiencing a good level of overseas buyers being registered," Curtis corroborates.

"The buyer of the Norman Park property was incredibly happy with the auction process," Hicks says, and commented, "'I can't believe how smooth this process has been.'"

Hicks advises those looking to sell that going to auction is the "Only way to sell if you want to maximise price and minimise hassle."

Di Jones Head Auctioneer Josh Larsen believes that "while buyers have become pickier, desirable properties that are priced sensibly are still selling well under 30 days through the auction process."

RT Edgar's Alex Broque, who sold 124 Stanhope Street in Malvern at auction for $2.74 million concluded to WILLIAMS MEDIA, that "Good houses, good suburbs and good streets will always sell well no matter the market."

See also:

South East Queensland land market remains strong

QLD Sotheby's acquire Mannings Real Estate amid Gold Coast apartment market upswing

Auction volume doubles resulting in success for buyers and sellers alike