Auction market shows mixed results across Australia in final quarter of financial year

The latest Apollo Auctions Market Update reveals varied performance in Australia’s property auction market for the final quarter of the 2023-2024 financial year. While some regions have shown significant improvement, others continue to face challenges.

Key findings:

National auction clearance rate increased to nearly 64%, up from 61% in the March quarter.
Sunshine Coast emerged as one of the strongest regions, with an 81% clearance rate, up from 58.8% in December.
Sydney’s clearance rate strengthened to 63.2%, up from 54.8% in December.
Melbourne continues to struggle, with clearance rates falling to 50.5%.
South East Queensland and Perth consistently produced robust auction results, aligning with strong market conditions.

Justin Nickerson, Director of Apollo Auctions, noted, “Since the start of this year, South East Queensland and Perth have produced the mostly consistently robust auction results and clearance rates, which is in-line with robust market conditions.”

Regional highlights:

Brisbane: Strong clearance rates, with notable interest in family homes and properties near amenities and schools.
Logan City: High demand continues to outpace supply, attracting both investors and owner-occupiers.
Sunshine Coast: Experienced robust activity driven by lifestyle offerings and favorable market conditions.
Gold Coast: Solid performance, particularly in high-end and entry-level markets.
Northern Rivers: Two-speed market with strong interest in the lower end, particularly in areas like Tweed Heads.
Melbourne: Challenging quarter, partly due to new rental reforms and increased property taxes.
Perth: Continued strong performance with “furious bidding and record prices.”

The report also noted that across the nation, there was an average of nearly 60% active bidders at auctions, with Northern NSW recording the highest average at 66.7%.

This mixed performance across different regions highlights the localized nature of Australia’s property market and the varying factors influencing buyer and seller behavior in different areas.