Year of the auction

(Ray White Cheltenham agent Angela Limanis conducting an auction in one of her signature bright pantsuits.)

IT was the year of the auction for Australia’s property market with a record number of properties being sold under the hammer in 2021.Every weekend seemed to break the previous auction volume or clearance rate record this year while at the same time, lockdowns and capped numbers meant breaking away from the traditional on-site or in-room auctions.It was suits on top, loungewear on the bottom as auctioneers across the country brought down the hammer on millions of dollars worth of sales from their own living rooms while buyers were able to purchase their dream home at the kitchen table.

(Ray White Ringwood director Chris Watson is all business on top and activewear on the bottom.)Ray White Group Managing Director Dan White said low stock and high buyer demand created a competitive auction market in 2021.“For much of the year, buyers struggled with a lack of stock as lockdowns made sellers more cautious,” Mr White said.“In November, we saw the number of properties for sale catapult upwards by more than 21 per cent nationally. So much so, that in the last week of the month, we saw the most properties going to auction we had ever recorded.“The strong selling conditions led to solid conditions for our family of businesses and we helped more than 50,000 clients with their property ambitions at our auctions.”

(Ray White auctioneer James Kerley and Ray White Woollahra | Paddington's Danika Jess and Clay Brodie could be the next big pop group.)Ray White chief economist Nerida Conisbee said the year 2021 was the most competitive year for properties selling at auction that the group has ever recorded.“The city that saw the biggest jump between 2020 and 2021 was Brisbane. Despite a big uptick in auctions conducted this year, Brisbane also saw a big increase in the number of people actively bidding,” Ms Conisbee said.“It was therefore no surprise that it was a Brisbane suburb that was the most competitive. Wishart in Brisbane’s south saw the highest number of average active bidders in Australia in 2021 with 9.4 per auction.

(Ray White’s first four legged talent. Otto the dog’s parents sold 8 Stawell St, Coburg at auction in February through Ray White Brunswick agent Alex Ilyin.)“The suburb is popular generally because it is in the catchment of the Mansfield State High School but also because of close proximity to retail facilities and nice parks.“In 2021, it also saw its median shoot up over 17 per cent, putting it on track to hit $1 million in coming months."Ms Conisbee added that at a capital city level, the suburbs that saw the most competitive bidding were generally not the most expensive.“This reflects that as you get closer to the median for that city, the more people that can afford to buy in that location,” she said.

(Every Friday morning, Ray White Queensland chief auctioneer Gavin Croft can be found calling a host of in-room auctions for Ray White offices across the state.)“Rosebud West topped the list for Melbourne and is in fact one of the most affordable suburbs in the red hot Mornington Peninsula market.“In Adelaide, it was the suburb of Greenacres which has a median of $555,500.“The only exception to this was Sydney – Epping certainly isn’t one of the city’s most expensive but has a median price of $2 million.”

(Not pictured: Ray White Victoria auctioneer Jeremy Tyrrell’s silly socks and slippers.)As leaders in the auction space, it was no surprise that the Ray White Group was at the forefront of auction innovation this year, helping to transition the process to a safer and more accessible platform for buyers and sellers in lockdown.This year, the group scheduled 26,089 auctions (almost 10,000 more than last year) and recorded an 84 per cent clearance rate to date, significantly higher than 2020 when the group ended the year at 66 per cent. Representing an increase on last year, there were an average of 6.4 registered bidders and 3.6 active bidders at Ray White auctions nationally.Sellers who decided not to take a prior offer on average sold their property for 11.9 per cent more than if they had made a deal before auction day. This represented tens of thousands of dollars more for many sellers looking to take the next step in life, whether that be upsizing, downsizing or cashing out.

(Ray White NSW chief auctioneer Alex Pattaro lead a seamless transition to online auctions in the last half of 2021.)Despite spending a chunk of 2021 in lockdown, Sydney remained the auction capital of Australia in terms of volume.In the New South Wales’ capital, Ray White offices scheduled 6,827 auctions in 2021 with a spike in volume coming at the end of the year.Ray White Sydney recorded an impressive 90 per cent clearance rate over the year while 7.3 buyers registered to bid at auction on average and 3.7 threw their hat in the ring by bidding.

(Ray White Victoria chief auctioneer Matthew Condon is eager to utilise both on-site and online auctioning methods in 2022.)Ray White agents in Melbourne may have been in lockdown for most of the last half of 2021 but they were hot on the heels of Sydney agents in terms of auction volume.Ray White offices in Melbourne collectively scheduled 6,812 auctions and recorded a 82 per cent clearance rate this year. On average, Ray White auctions in the Victorian capital attracted 5.3 registered bidders and 3.4 active bidders.

(Ray White New Farm principal Haesley Cush lost none of his energy when he transitioned his auctions online.)There was no denying that the property market in Brisbane was red hot this year with a host of interstate buyers flocking to the sunshine state’s capital to escape more restrictive lockdowns in other states.Sellers heeded the call to auction, seeing the intense competition in the market, which resulted in 3,237 scheduled auctions this year. Ray White recorded an 80 per cent clearance rate but what was really impressive was the 7.6 bidders on average who registered at a Brisbane auction while 4.2 actively bid.

(Ray White South Australia chief auctioneer John Morris on the right feels right at home conducting auctions in one of the world’s most liveable cities, Adelaide.)In 2021, Adelaide was named the third most liveable city in the world according to The Economist Intelligence Unit's Global Liveability Index. Both local and interstate buyers agreed, with the city recording 8.7 registered bidders per Ray White auction on average and 3.8 active bidders. Ray White Adelaide scheduled 2,035 auctions in the “City of Churches” and an impressive 86 per cent clearance rate.Ray White Norwood in South Australia scheduled and conducted the most auctions of any Ray White office in the country. The top South Australian Ray White office scheduled 579 auctions and took 482 all the way to game day.

The top auction sale of the year was recorded in the last month of 2021. Ray White Rural Victoria agent Max Brown sold the mixed farming property, “Yiddinga” in Edenhope (pictured above) for $19.75 million.

The seller, Andrew Farran, had held the property for more than 30 years and offloaded his 1486ha property to a local family from Apsley who plan to expand their fine wool merino business.

The top residential sale belonged to Sydney again this year. Ray White Double Bay asscoiate director Daniel Ungar sold the sought-after 8/20-22 Carlisle St, Rose Bay (pictured above) apartment for $12.8 million in November.

A Sydney agent also topped the ladder for most bidders at a single auction. Ray White Baulkham Hills agent Deepak Bangarh registered 71 buyers for his auction at 6 Key Court (pictured above) in April this year.

It sold for $1.75 million - $550,000 above reserve. Mr Bangarh said the property was within the Matthew Pearce Public School catchment which is considered one of the best public schools in New South Wales.

“Most of the buyers were those with children who appreciated the school zone,” Mr Bangarh said.“The successful buyer had plans to knock down the property and build a new family home on the block. Meanwhile, the seller was able to downsize and move to the central coast.”