Australian auction clearance rates hit post-pandemic low

Summarised from 2 outlets · Updated 15 Nov, 01:01 · Archive

Australian auction clearance rates have fallen to 44 per cent, their lowest level since April 2020, as home buyers withdraw from the market.

Auction clearance rates across Australian capital cities have fallen to a fresh post-pandemic low of 44 per cent, according to research group Cotality. The figure represents the weakest result since April 2020, during the early stages of the COVID-19 pandemic. All five capital cities that recorded a preliminary clearance rate saw falls, with Sydney dropping below 50 per cent for the first time in spring and Melbourne experiencing a particularly sharp 11 percentage point decline to 47.8 per cent, its lowest mark since September 2021.

Ray White executive Thomas McGlynn described the slump as symptomatic of a market hampered by rising interest rates, in which buyers faced little competition. He noted that despite the time of year traditionally bringing greater urgency to property markets, this was not translating into stronger buyer participation. 'Buyers are still making decisions, but they're doing so with a different level of urgency and a greater willingness to walk away,' Mr McGlynn said.

Auction clearance rates are considered a key indicator for property prices, with results below 60 per cent pointing to a falling market. The downturn coincides with investors leaving the property market in significant numbers.

How it is being reported

• Auctions slump to fresh low as home buyers walk awayNational auction clearance rates have fallen again to the lowest level since the COVID pandemic as Australia's housing market decline deepens.Perth Now · 15 Nov, 00:27
• Auctions slump to fresh low as home buyers walk awayNational auction clearance rates have fallen again to the lowest level since the COVID pandemic as Australia's housing market decline deepens.The West Australian · 15 Nov, 00:27

In this story: Cotality · Ray White · Sydney · Melbourne · Thomas McGlynn

This summary was written by AI from the headlines and standfirsts above, and states as fact only what at least two outlets report. How we use AI · Report a problem · Corrections log