It comes as CoreLogic data reveals the majority of homes that went to auction over the three months to December failed to sell under the hammer in Sydney.

The citywide auction clearance rate for the period was 43.1 per cent, down from 57.7 per cent last year and nearly 80 per cent two years ago.

The spring selling season was also unusually quiet last year. There were 2,400 fewer homes that went to auction that in the closing months of 2017.

In Melbourne, the city's clearance rate fell from the 68.1 per cent recorded across the three months ending in December 2017, to 45.8 per cent for the final three months of 2018.

CoreLogic's National Head of Real Estate Geoff White says many homeowners are adopting a 'wait-and-see' approach with mounting uncertainty over how the Labor Party's proposal to axe negative gearing might affect sales if they win the next federal election.

He added that some buyers are too "spooked" to bid at an unconditional auction for fear their bank would change their mind.

 Lachlan Goddard, sales consultant at Jellis Craig Northcote believes sellers will want to get their properties off their hands before the election campaign begins later this year.

"The first quarter of this year will have a bit more activity as those looking to sell will want to get their campaigns finished before the election.  Also, any policy changes to capital gains and negative gearing will impact homeowners and investors respectively," he told WILLIAMS MEDIA.

"Whilst the majority of the buyers out there are sitting on their hands waiting for more certainty in the market place, those buyers who are brave enough to go against the trend are securing fantastic property at fair and reasonable prices, setting themselves and their families up for the future."

Sydney-based auctioneer Damien Cooley of Cooley Auction agrees most people are "just sitting on their assets" if they don't have to sell and aren't looking to upgrade or downsize. He believes anyone who is selling earlier in 2019 has a "good chance".

Ray White Chairman Brian White told WILLIAMS MEDIA it's typical for markets to take a breath during an election campaign.

"A feature of the Australian property market will be the elections in New South Wales and the federal scene, all due to take place in the first part of 2019. Traditionally, markets like to pause during the election campaigns. A lot of the reasons for this pause is due to contentious promises being made by different political parties and their effects on residential property markets."

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