The loosening of credit, the removal of COVID-19 restrictions and the seasonal rebound in the number of listings have promoted fierce competition in the real estate market. The clearance rate has risen to the highest level since March, and there are three transactions for every four properties at auction.
Data released by CoreLogic on Sunday showed that in the week ending last Saturday, the initial emptying rate of the Melbourne-dominated national auction market was 77%, slightly higher than 76.2% the previous week. The Melbourne buyer’s agent said: “Now is a good time to trade and buy quality properties, but people are still waiting for a big price cut next year. But no one knows what the market will look like next year.”
The performance of some markets is more complicated. In the week before the opening of the Melbourne Cup, many homeowners took full advantage of this unofficial long weekend, so auction activities are usually relatively small. There were 604 auctions in the week before the opening of the Melbourne Cup, an increase from 490 in the previous week and more than double the 255 in the same period last year. Last week, the Victorian capital announced an initial clearance rate of 82%, which was the same as the previous week. High-end market performance is very stable. In Albert Park in the inner south of Melbourne, a three-story, six-bedroom house that a couple looked at on Monday morning bought it for between A$11 million and A$11.5 million that night.
The agent said: “They saw the property at 11:15 in the morning. The two met at 4:30 and the transaction was completed that evening.” After discussing with the seller, this building is located at 32 St Vincent Place and has an area of 632. The square meter house was sold for approximately A$11 million.
