Auction volume rises as clearance rates hold

AS the Ray White Group’s national auction volume began rising early on this year, the expectation was to see the clearance rate dramatically drop.

This hasn’t been the case as vendors adjusted to the balancing markets across the country which offer opportunities for both buyers and sellers.

Last year was characterised by low stock levels and consequently less auctions. This year, auction volume has shot up but despite this, the year-on-year clearance rate has barely wavered.

In January of this year, the Ray White Group scheduled 987 auctions with a clearance rate of 71 per cent versus 630 scheduled auctions and a 67 per cent clearance rate last year.

This February, the group scheduled 2,498 auctions with a clearance rate or 77 per cent, meanwhile last February the clearance rate was only one per cent higher while there were 1,603 scheduled auctions.

In March of this year, the clearance rate came in at 73 per cent, only three per cent less than the year before despite there being 2,824 auctions scheduled this year and 2,321 last year.

This April, the leading group is on track to reach 2,839 scheduled auctions by the end of the month with 2,252 currently booked. The clearance rate is sitting at 73 per cent, while last year it ended at 75 per cent with 1,904 auctions scheduled.

However, with an election on the horizon and a looming rate rise, it appears stock levels and potentially auction volumes are about to take a dip. The Ray White Group has seen a 33 per cent decrease in listing authorities in April, pointing to a lean May for buyers who need to get in quick or again be left with less choice as sellers decide to stay put.

This weekend, the Ray White Group has 719 listings scheduled to go to auction nationally. On Saturday alone there are 408 auctions scheduled. Ray White in Melbourne has a massive 215 auctions scheduled while Ray White Sydney has another 162 auctions booked in. There will be another long weekend in Queensland but Ray White Brisbane still has 81 auctions scheduled while Adelaide has 34 auctions booked in this week.