The Urban Developer
AdvertiseEventsWebinars
Urbanity
Awards
Sign In
Membership
Latest
Menu
Location
Sector
Category
Content
Type
Newsletters
Interested in a Corporate TUD+ Membership? Access premium content, site tours, event discounts and networking opportunities
Interested in a Corporate Membership? Access exclusive member benefits today
Enquire NowEnquire
TheUrbanDeveloper
Follow
About
About Us
Membership
Awards
Events
Webinars
Listings
Partner Lab
Resources
Terms & Conditions
Commenting Policy
Privacy Policy
Republishing Guidelines
Editorial Charter
Complaints Handling Policy
Contact
General Enquiries
Advertise
Contribution Enquiry
Project Submission
Membership Enquiry
Newsletter
Stay up to date and with the latest news, projects, deals and features.
Subscribe
ADVERTISEMENT
SHARE
print
Print
OtherEditorial DeskMon 21 Jan 19

Auction Clearance Rates Fell 20% Over the Past Year

9f813423-3836-4c57-9a34-6475c6f4a407

Australia's housing market continues to weaken with auction clearance rates falling despite an increase in total auction activity across the nation's capital cities.

The Corelogic quarterly auction report, which focuses on Australia’s auction market performance, found that combined capital city clearance rates dropped to just 43.6 per cent in the three months to December 2018.

This figure continues to trend downwards from 53.6 per cent over the previous quarter and 62.3 per cent over the same period the previous year.

All capital cities observed a reduction in the auction clearance rate with the exception of Hobart which continues to defy the broader market downturn.

The largest fall in clearance rates was seen across Canberra (down -13.4 per cent from the previous quarter), followed by Adelaide (-12.2 per cent), Perth (-11.9 per cent) and Melbourne (-11.2 per cent).

Related: House Price Decline Largest Since the ’80s: Morgan Stanley

Capital city auction clearance rate and volumes:

  • Sydney 43.1% (8,828 auctions)

  • Melbourne 45.4% (12,372 auctions)

  • Brisbane 31.8% (1,642 auctions)

  • Adelaide 48.5% (1,423 auctions)

  • Perth 25.0% (499 auctions)

  • Tasmania 50.0% (40 auctions)

  • Canberra 46.9% (1,090 auctions)

  • Combined capitals 43.6% (25,894 auctions)

Investor lending picks up in NSW

Despite auction clearance rates falling significantly over the December quarter, recent ABS data has found that investor activity remains mixed.

New South Wales continues to buck the national trend with a monthly increase of 6.6 per cent in the value of loans approved to residential investors in November 2018.

All other states, with the exception of Tasmania, reported falls in investor lending activity over November with VIC recording the sharpest decline, down by 10.1 per cent.

Western Australia, Queensland and South Australia were all down at 7.2 per cent, 3.3 per cent and 2.3 per cent respectively.

“Investor lending has collapsed over the past year instigated by misguided policies by APRA the financial regulator and now predictably exacerbated by the severe impact of falling house prices on home buyer sentiment generally,” My Housing Market chief economist Andrew Wilson said.

Investor lending in NSW continues to account for the highest proportion of investor finance nationally with almost half of all loans, while Victoria accounts for just under a third.

ResidentialAustraliaFinanceReal EstateSector
AUTHOR
Editorial Desk
More articles by this author
ADVERTISEMENT
TOP STORIES
Exclusive

Brains, Guts and Determination: How Salvo Property Shapes Melbourne’s Skyline

Marisa Wikramanayake
5 Min
Fraser and Partners founder Callum Fraser
Exclusive

Saving Our CBDs: Architect’s Blueprint Paves Way for Office-to-Resi that Works

Leon Della Bosca
8 Min
Exclusive

Watchdog’s Court Loss Throws Spotlight on Union Balancing Act

Clare Burnett
6 Min
Time and Place's The Queensbridge Building at 90 Queens Bridge Street in Melbourne's Southbank.
Exclusive

Innovation Keeps Time & Place’s Southbank Skyscraper Rising

Marisa Wikramanayake
6 Min
Breathe Architecture founder Jeremy McLeod in front of his Featherweight Home design
Exclusive

Nightingale Founder’s Bid for Affordable Architectural Kit Homes

Leon Della Bosca
7 Min
View All >
PBSA DA Hindmarsh Square student accomodation tower
Student Housing

Student-Friendly Adelaide Draws 35-Storey PBSA Proposal

Renee McKeown
Westmead Gene Technologies Building EDM
Life Sciences

Plans for $272m Parramatta Biomedical Facility Go Public

Clare Burnett
Exclusive

Brains, Guts and Determination: How Salvo Property Shapes Melbourne’s Skyline

Marisa Wikramanayake
Data, 3D tech and careful research are vital, but count for little without the courage to back it up, says James Maitlan…
LATEST
PBSA DA Hindmarsh Square student accomodation tower
Student Housing

Student-Friendly Adelaide Draws 35-Storey PBSA Proposal

Renee McKeown
3 Min
Westmead Gene Technologies Building EDM
Life Sciences

Plans for $272m Parramatta Biomedical Facility Go Public

Clare Burnett
3 Min
Exclusive

Brains, Guts and Determination: How Salvo Property Shapes Melbourne’s Skyline

Marisa Wikramanayake
5 Min
West End Stockwell Vulture Street DA hero
Development

Stockwell Files Tower Plans in West End Stomping Ground

Phil Bartsch
3 Min
View All >
ADVERTISEMENT
Article originally posted at: https://theurbandeveloper.com/articles/auction-clearance-rates-continue-to-fall-despite-increased-activity-and-investor-pickup