A "substantial" increase in Sydney's auction clearance rate has made it the best performing capital city market for the week ending June 30.

CoreLogic's market summary indicates the city returned a preliminary auction clearance rate of 72 per cent for last week, after recording a final clearance rate of 60.9 per cent the previous week.

Volumes were down week-on-week across the city, which hosted 503 auctions, in comparison with 558 the previous week. 

Auctioneer Damien Cooley told WILLIAMS MEDIA while June had proved challenging for volumes, it had also featured some strong results.

"In 2018, our clearance was 49 per cent and we averaged 2.2 bidders, while in 2019, our clearance was 63 per cent and we averaged 3.6 bidders," he said.

"The lack of stock is affecting sentiment, in relation to supply and demand.

"Buyer conversations have shifted from, 'we will wait and see what happens', to now be, 'what have you got coming up or will the owner accept an offer prior to auction?'"

"This said, buyers are certainly not getting carried away."

Real Estate Institute of New South Wales President Leanne Pilkington said while the falling volumes were a "concern", Sydney's clearance rate highlighted a stabilisation of the market.

"Agents are reporting increased numbers through open for inspections, which indicates the likelihood that the clearance rates will remain strong," she said.

According to CoreLogic, There were 1,292 capital city homes taken to auction over the final week of June, returning a preliminary auction clearance rate above 60 per cent for the third consecutive week (66.5 per cent).

The research firm believes the higher auction results align with the trend in housing values, where the rate of decline has been consistently improving through 2019, largely driven by improved conditions across Sydney and Melbourne.

The performance was varied across the smaller auction markets this week, with Adelaide returning the strongest preliminary result with 68.9 per cent of auctions successful, while only 33.3 per cent of homes sold across Perth. 

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58 Myrtle Street, Stanmore was sold at auction for $2.8 million through Belle Property Annandale. As seen on The Home Page.

Melbourne

Melbourne returned a 70.6 per cent preliminary auction clearance rate this week, increasing on the 68.9 per cent final clearance rate last week.

As with Sydney, volumes were lower week-on-week, with 536 homes auctioned down on the 635 auctions held the previous week. 

Ray White Victoria and Tasmania Chief Auctioneer Matt Condon said the week had seen the Victorian property market perform exceptionally well.

“It’s been another confident post-election week, especially when you look at the strong average number of active bidders per auction,” Mr Condon said.

“When properties are hitting the market and announced as selling, more often than not, we’re seeing competition past that point.”

Brisbane

Brisbane returned a preliminary clearance rate of 36.4 per cent from 123 auctions.

Apollo Auctions had an average attendance of 17 people at their auctions and an overall clearance rate of 47 per cent.

Auctioneer Justin Nickerson said the continued the recent state trend of strong clearance rates, despite a low number of registered bidders.

"Again, those who registered generally participated strongly, with the active bidding percentage hitting a peak for 2019," he said.

"A number of sales occurred prior to auction again this week, whilst good weather saw strong attendance figures."

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