The auction season is back in full swing with additional properties going under the hammer this weekend, says CoreLogic's Tim Lawless.
According to CoreLogic, the 2020 auction market is now in full swing, with over 1,000 homes across Australian capital cities scheduled to go under the hammer this week.
An additional 448 auctions are being tracked by CoreLogic compared to final figures last week (625).
The most substantial increase in volumes this week is expected across the two largest auction markets of Melbourne and Sydney, where volumes are set to double.
Melbourne is set to see 379 homes taken to auction this week, while Sydney has 408 auctions scheduled.
The smaller cities aren’t quite seeing the same uplift over the week, with scheduled volumes lower in Adelaide, Canberra and Tasmania.
If we compare volumes to the same week last year, volumes are up across Sydney (26.7 per cent), Melbourne (8.3 per cent), Brisbane (24.4 per cent) and Canberra (45.5 per cent), while there are fewer auctions year-on-year in Adelaide (-5.1 per cent), Perth (-13.9 per cent) and Tasmania (-42.9 per cent).
Exploring the market
Head of Research for CoreLogic, Tim Lawless said while the median property value provides a useful reference point for the ‘typical’ home value in an area, buyers on a tight budget might find it more practical to narrow down their property search by examining lower quartile values.
Source: CoreLogic
"It’s important to remember the median represents the middle point of the market; half the properties in a region will have a value that is lower than the median and half will have a value higher than the median," said Mr Lawless
"The lower quartile (or the most affordable 25 per cent or properties in a region) provides a better view of the market entry point, while the upper quartile (most expensive 25 per cent of properties) gives an indication about premium values.
"With this in mind, some areas that might seem out of budget based on the median value may actually offer up some opportunities if buyers are willing to target properties at the lower end of the value range."
Mr Lawless said this might mean looking for the worst house in the best street, buying a home on a smaller block of land, or choosing a property that needs some work.
Similar to this:
Is 2020 the end of the in-between auction years?
'Significant' increase in auction clearance rates during December quarter - CoreLogic
Weekly rise in auction volumes across Australian capital cities