Interest rate relief spurs Canberra's clearance rates

Canberra’s auction clearance rates have jumped in recent weeks, signalling a shift in market activity from last year.

Domain research reveals the ACT experienced a six-month high with a clearance rate of 59.9 per cent in February.

Local agents point to the interest rate cut boosting buyer confidence.

Stone’s Jess Smith said there had been increased activity at open inspections in the Gungahlin region.

“We’re seeing more enquiries and heightened interest from buyers, which is a noticeable improvement compared to last year,” she said.

“The rate cut has eased pressure for a lot of families and given buyers more confidence.”

With a 66.7 per cent clearance rate, the Gungahlin region fared better than most of Canberra’s districts except for Tuggeranong, where the clearance rate rose to 67.1 per cent in February, up 19.8 per cent annually.

Jonny Warren of Jonny Warren Properties noted more certainty in the market overall.

“There’s typically a spike after the Christmas period but rumours of an interest rate cut had already created confidence and increased buyer activity,” he said.

“We’ve had a 100 per cent clearance rate at our office this year with a number of properties selling within days of being listed.”

Warren said the majority of demand was for more affordable properties, with buyers fearing they may miss out.

On the flip side, the North Canberra region recorded a clearance rate of 40 per cent in February, while Queanbeyan trailed at just 29.2 per cent.