Record year for Melbourne auctions

Author: Enzo Raimondo, CEO
Date: 23 Dec 14

Melbourne lived up to its reputation as Australia's auction capital with a record-breaking year in 2014. About 

40,000 auctions were held – a new record, up from 34,500 last year and beating the previous record of 34,619 set in 2010.

The 2014 spring auction market was the strongest ever.  On October 25 super Saturdays – with more than 1000 auctions – became mega Saturdays, with 1682 auctions – a new record.  This was followed closely by the 1660 auctions held on the weekend of December 6-7.

Sellers know they can achieve excellent results at auction and are increasingly opting to sell their homes under the hammer rather than by private sale.  There has been an increase in auctions held in regional centres and outer suburbs which have traditionally favoured private sales, the most common way to sell a home in Victoria.

So as auction numbers have increased, private sale numbers have fallen, with more than 7000 fewer private sales to November 30 than at the same time last year (final figures are still being reported and will be available later in January).

Melbourne is not only leading by example – the success of the auction system here has led to more interest in it in Sydney and New Zealand, with more real estate agents training as auctioneers there – it is one of the world's leading centres for selling quality residential property by auction.  

With the auction boom comes demand for auctioneers and estate agents are reporting heavy bookings for skilled auctioneers to get the highest prices for vendors.  It is necessary to book auctions well in advance to be sure of a timeslot with some senior auctioneers.  

REIV's beginner and advanced auctioneering courses are running several times a year and are usually full.  Also, more women are becoming auctioneers and some young auctioneers are achieving great results.  
The auctioneer's role is highly skilled and vital to ensure not only a good result for the seller.  The auctioneer must make sure buyers are treated fairly, all bids are seen and recorded accurately and the auction is run according to the state legislation. 

It is not a skill an agent can simply pick up – it takes many hours of study and practice.  The legislative requirements for auctions in Victoria are strict and auctioneers need confidence in difficult conditions such as bad weather or nearby heavy traffic, large crowds and even know how to handle hecklers.  
For those planning to sell choice of auctioneer is a crucial decision.  Your agent can recommend the agency's top performers and friends and neighbours are a good source of information about who impressed and achieved good prices locally.