Auction activity is expected to surge this weekend as the spring selling season sees a flurry of sellers looking to capitalize on record house prices.
PropTrack’s Property Overview Report shows the number of auctions is 134% higher than last year, with 2,193 properties due to go up for auction this weekend.
There are 664 auctions scheduled in Sydney this week, up 113% year on year, and 708 auctions scheduled for next week, up 109% year on year.
Melbourne saw the biggest jump in auction activity, with bidding up 688% from the first week of spring last year.
There are 796 auctions scheduled in Melbourne this week and 878 auctions scheduled for next week, up 586% year-on-year.
Cooley Auctions managing director Damien Cooley said he expects auction activity to continue to increase in the coming weeks.
“Auction volume increases steadily in September,” Cooley said.
“This weekend is the first of spring and we had a good race in August.
“Volume still remains conservative for this time of year and traditionally August and the first weeks of September are quiet.
“Then October is when things really start to pick up.”
PropTrack economist Anne Flaherty said she expects auction activity to continue to climb as we head into the warmer months.
“Scheduled auctions are well up on 12 months ago when lockdowns hampered market activity, particularly in Victoria,” Ms Flaherty said.
“As we move into spring, the number of scheduled auctions should increase, giving buyers more choice.”
Across NSW, Marrickville is expected to have the most auctions with 12 scheduled for the weekend, followed by Baulkham Hills, Broken Hill, Goulburn and Mosman with nine.
In Victoria, Reservoir has the most auctions scheduled for the weekend with 16, followed by Mount Waverley (13), Glen Waverley (12), Bentleigh East (10) and Richmond (10).
In small caps Brisbane has 118 auctions scheduled for this weekend, which is the same as this time last year.
Adelaide has 125, up 5%, while Perth, with 22 auctions scheduled, is down 27% from the same weekend last year.
Mr Cooley said the market was holding up well.
“Looks like the market is quite resilient and finding its bottom,” he said.
“We still have a relatively small volume of goods on the market and that’s one thing that helps stabilize prices.
“I think what will be the significant test for the market will be in late October and November and December.”
Mr Cooley said there was a clear flight to quality in today’s market.
“The high end of the market is feeling strong and there’s good activity, especially for homes that are finished and present beautifully,” he said.
“I always use the analogy that good properties always sell well regardless of market conditions and I think that’s absolutely obvious right now.”
Ms. Flaherty said many sellers are looking to sell as early as possible to beat what is expected to be a surge in listings later in the spring.
“Predictions of further price cuts could also prompt some sellers to push their sales campaigns forward,” she said.
“The combination of more properties for sale and a slowdown in demand gives buyers more leeway.
“As a result, the rate at which properties are selling is expected to slow over the next few months.”
The most popular listing auctioned on realestate.com.au this weekend is in NSW at 5 Gumbuya Avenue, Baulkham Hills.
The four-bedroom, two-bathroom brick-and-tile home has an RRP of $1.5 million and is perfect for a family.
The most viewed residential listing on realestate.com.au this week is 5805 Helena Valley Road, Helena Valley, WA, which spans 1.23ha and is surrounded by Gooseberry Hill National Park, Beelu National Park and the Helena River.