The Australian property market has just witnessed its most frantic week of auction activity since mid-December of last year, signaling a robust awakening of real estate momentum. According to the latest data from Cotality, a staggering 2,831 homes were taken to auction across the combined capital cities over the past week. While the sheer volume of properties going under the hammer represents a massive influx of fresh stock for eager buyers, it has predictably begun to temper preliminary clearance rates across the nation.
As auction activity dramatically rises, the weighted average preliminary auction clearance rate across combined capitals has experienced a gradual fade. Cotality Analyst Caitlin Fono reports that the clearance rate dropped to 68.0% last week, a noticeable decline from 70.7% the week prior and 73.7% in the week ending February 8th. However, despite this easing trend, market observers remain optimistic, noting that clearance rates are still holding comfortably above the sluggish low-60% range recorded during the mid-December lull.
Melbourne has firmly established itself as the nation’s auction volume epicentre, hosting a remarkable 1,395 auctions last week. This figure represents a massive 67% jump from the previous week’s volume. The surge in supply saw Melbourne’s preliminary clearance rate dip slightly to 68.1%, down from 70.6%. The Victorian capital is bracing for an even larger wave of around 1,660 scheduled auctions this week, before a steep drop-off to roughly 530 the following week due to the upcoming Labour Day public holiday.
Meanwhile, Sydney’s real estate engine continues to run hot, with 997 auctions held last week, marking a solid 29% increase week-on-week. Similar to Melbourne, the increased choice for Sydney buyers has pushed the preliminary clearance rate down to 67.1%, continuing a downward trend from 79.6% just two weeks prior.
Beyond the two major eastern hubs, Adelaide has emerged as the clear standout performer. The South Australian capital hosted 142 auctions and recorded an exceptional preliminary clearance rate of 82.6%, making it by far the strongest market for successful outcomes among all capital cities. Brisbane maintained steady momentum with 156 auctions returning a 66.7% success rate, while Perth posted a solid 72.7% clearance rate from its 15 auctions. Conversely, the Australian Capital Territory (ACT) struggled to keep pace, with only 58.6% of its 122 auctions recording a positive result.
Despite the slight softening in national clearance rates, high-end property sales continue to demonstrate the underlying strength of buyer appetite. The week’s top sales included a breathtaking five-bedroom property in Currumbin, Queensland, which secured $8.25 million, and a prestigious home in Balwyn North, Victoria, that fetched $7.185 million.
Looking ahead, the volume of auctions is set to rise even further. With approximately 3,400 homes currently scheduled to go to auction nationally this week, the market is poised to test whether buyer demand can absorb this continuing tidal wave of new listings.