Auction momentum is building just in time for the spring selling season, with more than 2200 homes in Australian capital cities going under the hammer last week. This is the highest number recorded since early June. The increase in seller activity is energising the market but may also place further strain on housing affordability as more buyers enter the competition.
Auction numbers are increasing across all major cities, showing growing confidence among sellers. This trend coincides with the federal government's decision to accelerate its home deposit support scheme by three months and expand its eligibility. The revised timeline allows more Australians to access the program by October, creating urgency for those eager to make use of the minimum 5% deposit offer.
Melbourne led in activity with 1124 auctions, up over 14% from the previous week. Sydney followed with 825 auctions, an increase of more than 13%. Sydney also topped clearance rates, reaching over 80% for the first time since April. Melbourne recorded just under 75%, a slight dip from recent weeks. Smaller capitals showed mixed outcomes. Brisbane hosted 124 auctions but saw a decline in volume, while Adelaide reported a 75% clearance rate from 106 auctions and Canberra achieved 76.7% from 63 sales, indicating steady results.
A notable sale took place midweek in Melbourne when an unrenovated South Yarra apartment sold for $6.16 million, more than $1 million over its price guide. These standout transactions are drawing attention in a market still recovering from the winter slowdown, where some buyers are motivated by limited stock and rising optimism.
Auction numbers are expected to briefly drop to approximately 2150 events next week but are forecast to climb again to about 2400 the week after. Analysts observe that while listings in key states like New South Wales remain below last year's figures, interest from buyers and sellers is growing as government incentives take effect. This trend could keep the property market active well into the Christmas period.
