Winter trends and auction results | The Real Estate Wrap with Leanne Pilkington
Welcome to this week’s Real Estate Wrap with Leanne Pilkington, CEO of Laing+Simmons and President of the Real Estate Institute of Australia.
Winter is here, and it’s not just the temperatures that are cooling down. We’re seeing some notable trends in the property market, with a noticeable slowdown in housing value growth across the country.
Here’s a quick rundown:
- Auction Numbers: Auction numbers down 16.8% across capital cities due to school holidays
- Clearance Rates: Preliminary clearance rate dropped to 71.0%, with mixed results across cities. Sydney’s clearance rate fell below 70% for the first time this year
- Housing Value Growth: National Housing Value Index growth slowed from 0.7% to 0.5% this month.
- Market Sensitivity: High inflation and increased stock levels are affecting demand, especially in high-end markets and in Sydney.
- Factors influencing the cooldown:
- High inflation
- Increased stock levels
- Low consumer sentiment due to living costs and debt servicing
- Delayed expectations for interest rate cuts
What This Means for You:
- Buyers: Potentially more negotiating power in certain markets.
- Sellers: Important to set realistic price expectations.
- Investors: Consider the impact of market cooling on potential returns.
Remember, real estate is local, and these trends may vary in your specific area. Stay informed with our weekly updates.
Transcript
Hey everyone Leanne Pilkington with you for the final leg of my five weeks off, I am in Phuket, catching up tonight with all of the Laing+Simmons Power Lister winners. So, we’ve got a week here before Rob and I finally head home. How sad is that? Back to work, never mind! This is the auction wrap for the week ending the 21st of July. Sydney saw an increase in both numbers and clearance rates over last week which is awesome. This weekend: 596 properties with a 74.6% preliminary clearance rate, last week was 560 properties with a final clearance rate of 61.4%, and same weekend last year: 695 properties clearance rate of 67.7%. Central Coast: only one from 12 on the Central Coast this weekend, the Blue Mountains 13 at 60%, Newcastle 17 at a massive 90.9% clearance rate, and Illawarra 17 at a 58.3%. Highest clearance rate over the weekend was the Eastern suburbs at 89.5%, and the lowest across Sydney was in the Southwest with 65.2%. Yes, it’s very, very warm here, I’m sorry that you’re all shivering at home, but I will be back shivering with you again next week. See you then, bye!
