1245 Melbourne homes auctioned in pre-Easter weekend push

The booming Melbourne auction market rolled on at the weekend recording another strong clearance rate despite school holiday distractions.

The weekend rate of 81.4 per cent was higher than the previous weekend’s 80.5 per cent and also higher than the 76.3 per cent recorded over the same weekend last year. Saturday’s result was the second highest so far this year and the third consecutive increase in the clearance rate, with the marker clearly strengthening over the past month.

On the weekend 1245 homes were listed for auction in Melbourne which was significantly higher than the 947 auctioned the previous weekend and well ahead of the 702 scheduled over the same weekend last year.

Auction listings typically surge over the pre-Easter Saturday as sellers avoid a clash with the holiday break. Although numbers increased, this years total was well below that recorded over recent years reflecting the later scheduling of Easter and school holidays already underway.

Melbourne recorded a median auction price of $819,000 on Saturday which was lower than the $846,000 reported the previous weekend but 20.4 per cent higher than the $680,000 recorded over the same weekend last year. A total of $567.7 million was reported sold at auction in Melbourne at the weekend.

Low mortgage rates are a key catalyst for continuing strong auction market conditions in Melbourne. The Reserve Bank has again decided to leave official interest rates on hold over April. Rates have now been on hold since August last year when they were cut to the record low 1.5 per cent.

Although rates remain on hold, latest economic data remains mixed with the national unemployment rate now at a year high 5.9 per cent and latest retail sales data disappointing. A number of capitals have unemployment rates significantly higher than a year ago. A continued deterioration in the jobless rate and weak retail spending will likely result in official rate cuts sooner rather than later – despite recent house price hysteria.

Melbourne’s suburban regions recorded remarkably consistent results again at the weekend which has been a clear feature of the early autumn market. Only one region failed to record a clearance rate above 80 per cent.

The top performer was the outer east with 86.9 per cent followed by the north east at 84.8 per cent, the north at 84.1 per cent, the inner east at 82.8 per cent, and the inner south at 82.2 per cent.

The west recorded 82 per cent from the highest sales at 150, followed by the south east at 81.4 per cent and the inner city with a clearance rate of 74.8 per cent.

Notable sales reported at the weekend included:

• A four-bedroom home at 24 Kerferd Street Malvern East sold for $3,200,000 by Stockdale and Leggo,
• A five-bedroom home at 14 Rubens Grove Canterbury sold for $3,115,000 by Nelson Alexander,
• A four-bedroom home at 39 Thoresby Grove Ivanhoe sold for $3,020,000 also by Nelson Alexander,
• A two-bedroom home at 75 Richardson Street Albert Park sold for $2,810,000 by Barry Plant and
• A five-bedroom home at 6 Milloo Crescent Mount Waverley sold by Harcourts for $2,668,888.  

The most expensive property reported sold at auction was a four-bedroom home at 24 North Road Brighton sold for  $4,225,000 by Barry Plant. The most affordable property reported sold at the weekend was a one-bedroom unit at 7/696 Waverley Road, Malvern East sold for $267,500 by Nelson Alexander.

For a list of Melbourne auction results click here.