The last full auction of the year saw healthy auction clearance rates, with buyers and sellers showing an eagerness to transact before the holiday period, according to the latest Apollo Auctions’ Auction Report.
“Across the Apollo Auctions markets, single bidder auctions were unusually common, with serious buyers prepared to do what was necessary to secure their next home or investment property, while everyone else waited – often unsuccessfully – for the property to be passed in for the chance to throw their hat in the ring. Many never got that opportunity,” Apollo Auctions Director Justin Nickerson said.
The four capital cities, across November, saw the average clearance rate increase to 61%, a slight rise from 59.5% in October. Many of these properties went to solo bidders.
Across November, the volume of attendees and registered bidders remained at healthy levels, although the percentage of active bidders decreased to around 55%, down from 65% in October.
“It’s clear that single bidders are making the most of some buyer hesitation at auction and are being rewarded with successful results,” Mr Nickerson said.
“The standout cities in November were the Gold Coast and Sydney, with auction clearance rates of about 64% and 62% respectively – both solid increases from the clearance rates recorded last month.
“As we head into the holiday period, savvy agents have been pre-loading their sales calendars with auctions for later in January and with signs that the market softening has slowed, everyone is looking forward to a solid year in property in 2023.”
Justin Nickerson, Apollo Auctions
In Brisbane, according to one of Apollo’s auctioneers Mark McCabe, conditions are still positive in the region.
“As the average days on market continues to grow in Brisbane, interest rates are starting to level out, supply is still quite short and demand is constant, buyers’ expectations are also reasonable,” Mr Nickerson said.
“While the southern states have shivered through some unseasonably cool temperatures, the Gold Coast has seen plenty of blue skies, with buyers and onlookers certainly taking advantage, according to our auctioneer Rob Doorey.”
On the Gold Coast, auctions are recording an average attendance of 26, with a healthy clearance rate of 64% and 32 registered bidders.
In Melbourne, according to auctioneer Andy Reid, well-presented family homes are still fetching a premium. Although there aren’t as many buyers around, those around are incredibly motivated, this creating competition, said Mr Reid.
In Canberra, a flurry of buyers are attending buyers and auctions to try and secure a home before Christmas according to auctioneer Jenna Dunley.
“Auction clearance rates remain steady at just over 50 per cent, which highlighted that there is still a great chance of securing a buyer unconditionally under the hammer in our national capital,” Mr Nickerson said.
The Sydney market continues to perform well.
“In Sydney, the agents that ran campaigns rather than squirrelling them away for a 2023 start have turned that stock into more listings for the New Year,” Mr Nickerson said.
“Some Sydney offices are going large with 30-plus auction events in the New Year, while others going niche and creating “investor events” or owner occupier-focussed auction events for buyers.”
According to auctioneer Richard Kerr, the Perth market has remained healthy although the number of groups through opens remains lower than earlier this year, with single-bidder auctions according at about 60% of all auctions.
Article source: Queensland Property Investor