Adelaide recorded a clearance rate of 75.9 per cent last week as "very, very keen purchasers" get serious.
Adelaide recorded the nation's strongest clearance rate last week.
"Adelaide posted the best result of all capital cities on the weekend, with a clearance rate of 75.9 per cent of the 107 auctions listed," Alex Ouwens, president of the REISA, told SCHWARTZWILLIAMS.
"The Adelaide market has been growing slowly over the last few years and many analysts predict the next two years it will be playing 'catch up footy' to the eastern states," he said.
Tim Thredgold, agent with Toop & Toop Norwood, agrees.
"It's a collision of low stock numbers, with people holding off selling ahead of the state election, low interest rates, and very, very keen purchasers," he said.
Source: CoreLogic.
Adelaide real estate will have to play a lot of catch up with the eastern states, said Thredgold, but it's most likely the eastern states will also pull back a little after such strong growth, and the markets will become more aligned.
Thredgold said numbers at open homes are strong, and there has been an uptick in interest in Adelaide property from interstate buyers, citing the example of a Sydney woman who had been priced out of the Sydney market and recently bought in Adelaide's Hawthorn.
Thredgold said numbers have been particularly strong at open homes since Christmas.
"Agents are reporting the most local and interstate activity at opens for ten years," said Ouwens
Sydney and Melbourne auction markets in perfect alignment
CoreLogic data had both Sydney and Melbourne auction markets in perfect alignment last week, with clearance rates of 71.7 per cent.
REIV president Richard Simpson told SCHWARTZWILLIAMS that REIV data shows that 1,219 homes were auctioned on the weekend with a preliminary clearance rate of 70 per cent recorded.
Both figures are down slightly on the same period last year, when 1,413 auctions were held with 81 per cent selling.
“Melbourne has experienced its first Super Saturday of the year with high auction volumes scheduled for the coming week, as vendors look to sell before the Labour Day long weekend," said Simpson.
“The city’s outer suburbs continue to experience strong results under the hammer, with high clearance rates recorded in Craigieburn, Mernda and Mill Park.”
Reservoir recorded 16 sales under the hammer on the weekend, while Craigieburn recorded 14 auction sales. The northern suburbs of Mernda and Mill Park achieved 100 per cent clearance rates.
Melbourne summer auction numbers at record high: REIV
Strong auction numbers over the weekend meant Melbourne recorded a record number of auctions for summer, with more than 7,500 auctions held, led by Craigieburn (123) and Reservoir (109).
The 2018 auction market has had a solid start with volumes increasing over the past few weeks, said Simpson.
Sydney's clearance rate strong, despite high volumes
REINSW deputy president, Peter Matthews, told SCHWARTZWILLIAMS, "The Sydney auction clearance rate produced a strong clearance at just over 70 per cent given the larger-than-normal stock volumes.
"Strong sales results in the eastern suburbs and the inner city led the market, and we expect that this activity will spill to the outer the markets over the next few Saturdays in the lead up to the Easter break.
"Buyer numbers through open homes have been steadily increasing, particularly in the housing market, with steady groups remaining in the apartment market."
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