17/05/2026
The first week of post-budget auctions... and the results from Cotality Australia were mixed. The preliminary clearance rate actually rose a little across the combined capitals, but Sydney's clearance rate fell to pandemic lows (49.2%) while Melbourne ticked higher (61%).
While it's just one week of data, and preliminary data at that, it is a sharp contrast in outcomes between the two major auction markets.
One hypothesis is that the substantially higher investment concentration in Sydney could have driven the contrasting results (ABS lending data puts investors at 43% of demand in NSW and 37% of demand in Vic). Similarly, first home buyers are far more active in Melbourne, comprising 26% of total mortgage demand state wide compared with 20% in NSW.
No doubt we will get more clarity in post-budget housing outcomes as the months progress, but it's safe to assume investor centric markets are likely to experience a reduction in aggregate demand.
1,939 capital city homes went to auction this week, an 11.1% drop from the week prior, but still tracking higher than a year ago (+8.7%) when 1,784 homes auctions were held. The preliminary clearance rate nudged higher relative to a week ago (up 1.1 percentage points), but at 57.5%, still a soft result. This was fifth time in the past seven weeks that the early clearance rate has held below the 60% mark and the third lowest result for the year-to-date.
ยท The volume of auctions dropped below the 1,000 mark in Melbourne, with 906 homes taken to market, down 14.9% on last week and 1.8% higher than a year ago. The preliminary clearance rate showed a 3.7 percentage point rise, reaching 61.4%, but still the fifth lowest early result so far this year.
ยท Sydney saw 616 auctions this week, down 14.9% on a week ago and 11.0% higher than the same time last year. The preliminary clearance rate dropped sharply, down 6.0 percentage points, to 49.2%, the worst outcome since auction results were heavily disrupted during early COVID in April 2020.
ยท177 auctions were held in Brisbane, a 7.3% rise in the week prior and almost a third higher (32%) than year ago. 55.7% of Brisbane auctions have reported a successful result so far, up from 53.7% a week ago and the highest early result in four weeks.
ยท147 auctions went to market in Adeliade, a 41% jump on last weekโs volume. 75.7% of homes have reported a sale on the preliminary data, an 8.5 percentage point rise on a week ago and the strongest preliminary outcome since mid-March.
ยท 25 auctions were held in Perth this week, the highest volume since late last year, but only 38.9% have reported a positive result so far. No auctions were held in Tasmania.
Next week we are expecting around 2,650 auctions to be held, rising to more than 3,000 the week after.