Auction action suddenly gets lively

Sydney is leading the charge for auction success in capital cities with 170 homes going under the hammer on the weekend.

The auction for 5 Kirkton Place, Edensor Park, Sydney attracted quite a crowd.

There are signs of life in the property market, with the number of homes sold under the hammer outpacing those sold before auction in three ­capitals.

Despite there usually being an even split, the number of homes sold under the hammer in Sydney jumped to 170 at the weekend, with 149 sold before auction.

The unexpected change was mirrored in Melbourne, which had 335 (82 per cent) of properties sold under the hammer, while in Adelaide 24 properties (80 per cent) sold on the day.

“Vendors may have seen the improved clearance rates and considered it is worth taking the chance that an auction will ­deliver a good result,” said CoreLogic’s national auction commentator Kevin Brogan.

“On the other hand, it could also be that purchasers are not making offers before auction ­because they are hoping a ­realistic reserve has been set and they can get the property for a good price at auction,” he said.

CoreLogic’s clearance rate data aggregates all property sales sold within the auction campaign period. The preliminary data released yesterday shows Sydney has continued to dominate the country’s auction clearances, securing a rate of 65.9 per cent, down slightly on last week.

Melbourne and Adelaide followed close behind, securing a rate of 58.1 per cent and 57.1 per cent respectively.

In contrast, Brisbane’s clearance rate tumbled almost a third week-on-week from 42.9 per cent to 28.9 per cent, the steepest fall in the country.