Melbourne is the property auction capital of Australia.
But are property auctions a thing of the past?
With auction clearance rates around Australia at a low point, I know some commentators are suggesting it’s not worth taking your property to auction any more
I don’t agree.
On the weekend we purchased a great villa unit at auction for a client – a true investment grade property which was hotly contested by 2 owner occupiers and 2 investors.
“A grade homes” and investment grade properties are still holding their values and selling well at auction.
So some properties are still the type that I would auction if I were selling my property.
However according to CoreLogic’s Quarterly Auction Market Review, fewer properties are being auctioned.
Over the 3 months to September 2018, 20,653 homes were taken to auction across the combined capital cities.
This is down from 25,824 over the June quarter and much lower than the September 2017 quarter when 27,953 auctions were held, although noting the September 2017 quarter was made up of 14 weekends compared to 13 this year.
The lowest clearance rate was recorded across the Mornington Peninsula where just 46.6 per cent of the 240 auctions held were successful, making it the only region to fall below the 50 per cent mark for Melbourne over the 3 months to September 2018.