Interesting time of the year | The Real Estate Wrap with Leanne Pilkington
Welcome to this week’s Real Estate Wrap with Leanne Pilkington, CEO and Director of Laing+Simmons and President of the REINSW.
There were 1,174 Sydney homes auctioned last week, returning a final auction clearance rate of 76%, this was down on the 76.9% achieved over the previous week when volumes were lower (1,103).
One year ago, 452 Sydney homes were auctioned returning a final auction clearance rate of 63.9%.
Despite clearance rates softening, this is the strongest May clearance rate in six years. In fact, this was when Sydney’s clearance rate peaked at an all-time record high of 83.3%. During this time, overall Sydney house and unit prices soared annually by 24% and 17% respectively.
Hey everyone, Leanne Pilkington here coming live from The Calile Hotel in Brisbane of all places. Wow! Brisbane’s come on a long way since I was last here really, really loving it. If you haven’t been here for a while, I definitely recommend it.
Anyway, here is your Real Estate Wrap for the week commencing the 7th of June.
This week, 1,171 properties went to auction with a preliminary clearance rate of 79.6%. Now that is the first time I’ve seen a preliminary clearance rate below 80%.
I’m thinking it may even be most of the year so it’s been quite some time.
Last week, 1,174 properties went to auction with a final clearance rate of 76%. Same weekend last year, 398 properties went for auction.
Now in Melbourne, they’re still doing okay despite that lockdown, 1,246 properties last week for a 71% clearance rate. 1,098 for a 67.3% prelim clearance rate so far. Many of the properties in Melbourne as you would imagine sold prior to auction.
Interestingly we have seen the highest rate of lending to our investors in the last four years of more than eight billion dollars and not surprisingly our first home buyer sector of the market is falling. There was still six billion dollars worth of lending however it’s less than it has been in previous months. Which is hardly a surprise, right?
The demand was brought forward with all of those incentives the government offered during the pandemic.
Anyway, I am off to Darwin this week for the Real Estate Institute of Australia Awards and board meeting, and policy seminars, and so forth so looking forward to it.
Hope you all have an awesome week and I’ll see you next week. Bye!