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Sydney has had yet another strong weekend for property auction results, as all indications point to healthy buyer activity in the city's housing sector.
According to Australian Property Monitors (APM), 74.7 per cent of auctions over the weekend resulted in a successful sale.
APM senior economist Dr Andrew Wilson said that the inner west lead the way, with an impressive 84 per cent clearance rate, even though it was home to more auctions than any other of the city's regions.
"Sydney's auction market continues to track considerably higher than at the same time last year both for clearance rates and listing numbers," said Dr Wilson in a June 24 article.
What's more, far from being a flash in the pan, the auction action over the weekend comes after a strong few months for sellers.
"This weekend's result closely follows last weekend's 76.9 per cent and reflects the remarkable consistency of the market over the past three months since Easter, with weekend clearance rates averaging 75 per cent over that period," said Dr Wilson.
A step back to look at this year in context reveals that buyer activity levels across the city are at their highest in a decade, according to Dr Wilson.
And he expects that it is not just owner-occupiers that are contributing to the high numbers.
"Increased activity by investors in the Sydney market is another important factor driving higher than usual winter sales - and expect that to continue," concluded Mr Wilson.
Anyone considering putting their property up for auction in Sydney may be encouraged by these statistics.
It is important to carefully consider the best method of selling your property. An auction may be a good option for many sellers, just as it offers many advantages for buyers too.
Why auctions can be good for sellers
If you need to sell fast, an auction can be an excellent way to do so. It can allow you to avoid lengthy negotiations by instead setting a date and aggressively promoting your property in the interim.
This will get your property exposure among potential buyers, and the appeal of an auction will create competition amongst interested parties.
This way you gain the certainty of knowing when your property will sell (in most cases!) and means you needn't worry about home viewings or other intrusions on your time.
On the big day, you needn't become involved in the negotiating process, yet it is you who sets the terms and conditions of the sale.
Why auctions can be good for buyers
That's a whole lot of advantages for sellers, so how about for people trying to buy property?
They, too, get to benefit from the certainty of working toward an auction date.
Instead of being in the dark about whether other buyers are getting in with offers before you have a chance to, having an auction date on the calendar lets buyers plan their strategy in advance.
This gives them an opportunity to organise their finances - an imperative if they wish to make a bid - so they are ready to bring their A-game when the time comes for bidders to make themselves heard.
And while it is competition amongst bidders that will essentially set the price of the property, potential buyers can set their own personal upper limit to ensure that they don't end up paying more for a property than they wish to.
An auction is also a signal to buyers that property owners are keen to sell, and may respond to offers if the auction is unsuccessful.
