Auction market soars as another record falls

Date: 10 Jun 17

While temperatures cooled across the city, Melbourne’s auction market remained hot with the highest number of homes selling under the hammer this autumn.

New REIV data shows more than 9,160 homes sold at auction from 1 March to 31 May – a 7.6 per cent increase on the previous record set in autumn 2015 when 8,517 homes sold.

REIV President Joseph Walton said Melbourne’s top performing auction suburbs this autumn were predominantly located in the city’s north.

“Reservoir and Craigieburn experienced the strongest results under the hammer this autumn with 138 and 116 sales respectively. 

“Despite these suburbs occupying vastly different price points in the market, both recorded autumn clearance rates of more than 84 per cent, signaling ongoing buyer demand in these areas.” 

More than 100 homes also sold under the hammer in Mount Waverley and Glen Waverley, followed by Epping (97), Kew (89) and Preston (89). 

“Melbourne’s buoyant auction market continues to perform strongly with multiple auction records falling this year.

“High auction volumes and clearance rates throughout autumn indicate a high level of vendor and buyer confidence in the market.” 

Mr Walton added that many outer Melbourne suburbs had doubled their auction sales this autumn. 

Werribee recorded the highest growth in auction sales with 52 homes selling under the hammer this autumn, up from just five for the same period last year. 

Hoppers Crossing also experienced a significant increase in auction transactions with 83 sales, up from 15 last autumn. 

“The strength of the market at present is encouraging more vendors to take their home to auction with strong competition evident in many suburbs that are traditionally the domain of private sales.” 

“Low stock on market is driving competition for homes across Melbourne with auction an increasingly attractive sales method for vendors in the city’s outer suburbs.”