Perth’s new apartment market recorded its strongest quarter of sales since Q4 2021, with 412 apartments sold in Q1 2026 and a record quarterly sold value of $537 million, according to Urbis’ latest Apartment Essentials results.

Urbis said the March quarter result reflects strong, highly product‑specific demand across both ends of the market, from more attainable projects delivering at scale, through to premium stock being absorbed by equity‑rich downsizers.&nbsp;

David Cresp, Partner at Urbis, said the key story in Perth is not demand, it is the market’s ability to convert demand into delivered housing.&nbsp;

“This is the strongest sales quarter since Q4 2021, and it reinforces that demand in Perth is real and it’s local,” David Cresp said. “But the task now is delivery, turning that demand into projects that can actually be built and completed.”&nbsp;

[smartcode_project:default project_id=110291 project_image_fid=302785]

<h2>Affordable product leads, premium demand remains resilient</h2>

Sales in Q1 were led by more affordable projects, with The Boulevard (SKS Group) recording 115 sales in the quarter, the presentation noting this is only the second time a single project has surpassed 100 quarterly sales. The project was able to offer more affordable housing product right next to a train station.&nbsp;

Palmyra West (Finbar) also delivered strong results with 28 sales in Q1, following 84 sales in Q4, with an average price of under $800,000, underscoring depth of demand for well‑located, attainable new stock.&nbsp;

At the premium end, Urbis said downsizer demand is continuing, with the results highlighting Romeo (Applecross, Finbar) recording 75 sales and reaching almost 50% sold in one quarter.

Jual (Shenton Park, Celsius Property) also posted a strong quarter with 28 sales, reaching 39% sold in one quarter.

Urbis noted that Perth apartment demand is not speculative, not investor‑led, and not uniform, describing it as localised, often equity‑driven and highly product‑specific, a pattern reflected in the polarisation between strong “attainable” performers and premium downsizer product.&nbsp;

[smartcode_project:default project_id=148957 project_image_fid=364102]

<h2>Prices underpinned by costs, and the delivery risk is growing</h2>

Urbis said pricing pressure is cost not demand‑driven: construction costs and delivery risk are now a central constraint, with the results noting build costs remain elevated and volatile, and that energy, fuel and labour uncertainty weigh on feasibility.

David Cresp said a growing challenge for private Build‑to‑Sell developers is simply securing a builder in the current environment.

“Developers are really feeling the pressure from a building market that was operating at capacity and securing a builder is challenging,” David Cresp said, adding that even where a builder can be secured, “trying to get to the price that makes the development financially viable is incredibly challenging in the current market.”&nbsp;

Urbis’ broader WA commentary also notes that industry remains at or above capacity with lot and housing creation, and that many builders are limiting new sales to manage stretched workforces and fixed‑price contract pressures, conditions that flow directly into apartment feasibility and delivery timing.

[smartcode_project:default project_id=108869 project_image_fid=317905]

<h2>Supply: improving later, but still constrained, and Perth lags eastern benchmarks</h2>

While near‑term supply remains constrained, Urbis’ forecast shows completions lifting “Supply is forecast to be back above 1,500 apartments per annum for the first time since 2019”, with 1,775 completions forecast for 2026, and volumes remaining above that level over the following years.&nbsp;

Looking further ahead, completions are forecast to reach 2,500 in 2028, with the report noting 32% of that total is social/affordable, reflecting the role of government‑supported delivery in rebuilding the pipeline.&nbsp;

However, Urbis said Perth remains behind comparable markets on pipeline scale. In a national comparison of projects under construction, the report shows under construction Perth Build‑to‑Sell (BTS) at 3,446 apartments versus the Gold Coast at 7,922. Mr Cresp said “The challenge for Perth is how to we grow the delivery pipeline”.

Urbis’ conclusion is that Perth’s market is increasingly defined by product discipline and delivery certainty, with the research identifying “delivery certainty is key” and calling out builder risk and procurement models as core success factors, alongside “timing and staging”.&nbsp;

Joel Robinson

Perth apartment sales hit strongest pace since late 2021 as builder capacity tightens

<a href="https://www.apartments.com.au/developers/sammut-developments">Sammut Group</a> has secured development approval for its latest Brisbane apartment project, marking the Sydney developer’s next step in expanding its Queensland pipeline following the success of its debut Gold Coast development, Coast.

The approved project at <a href="https://www.apartments.com.au/new-apartments/44-glen-road-toowong-qld-4066">44 Glen Road, </a><a href="https://www.apartments.com.au/developments/toowong-qld-4066">Toowong</a> will deliver a 15-storey riverfront apartment building with 42 residences, significantly increasing the scale of the site’s previous approval for a smaller luxury scheme. Designed by Bureau^proberts, the development will comprise a mix of predominantly four-bedroom and two-bedroom apartments positioned to maximise Brisbane River and city views.

Sammut Director Julian Sammut said the group had been actively searching Brisbane for several years before identifying Toowong as the right fit.

“Brisbane was the right step for Sammut,” Sammut said.

“With the success of Coast we thought we should definitely look to do more in Queensland alone. We then pushed up to look at Brisbane. We've been looking for I'd say two to three years actually and it was hard to find the right location.”

<img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_75/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Screenshot%202025-12-23%20at%203.27.14%E2%80%AFPM.png?VersionId=dYAVIL7qdcGA8ojvkslSrLjczXFejSSx" />

Sammut said suburbs including New Farm and Teneriffe were considered before the group ultimately focused on Toowong due to its strong downsizer demographic and limited supply of developable riverfront land.

The site was acquired off-market after what Sammut described as a lengthy negotiation and planning process, with the developer pursuing an uplift to the original approval.

“We are DA approved now which is very exciting,” Sammut said.

“We've had our change approval come through and we've obviously doubled the height, 15 storeys plus rooftop. We've got 42 amazing apartments that are going to be coming to market soon.”

<img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,dpr_2.0,q_auto:good/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-12-23%20at%203.27.26%E2%80%AFPM.png?VersionId=ohkRkY0dIZlqdfME2EZePsCQavRiBadE" />

Bureau^proberts said the design responds to Toowong’s evolving urban character, balancing contemporary apartment living with the area’s established residential identity.

“A place where traditional Queensland living has taken place for centuries; Toowong is seeing a shift of contemporary influence, commercial and retail hubs mixed with well-considered residential offerings – all the while maintaining its character and charm,” the architect noted in planning documents submitted to Brisbane City Council.

The architecture practice said the project’s form was shaped by its riverfront setting, flood considerations, neighbouring building scales, and view corridors.

“They said the mix of four and two-bedroom apartments capture the ‘fundamental qualities of Queenslander living,’ translated into the context of a contemporary subtropical building.”

The development sits just off Coronation Drive within walking distance of Toowong’s retail precinct and the upgraded Regatta ferry terminal, while also benefiting from proximity to the incoming green bridge connection to West End. Sammut said the accessibility and amenity offering were central to the site’s appeal.

The approval adds to growing residential activity along the Toowong riverfront, joining nearby projects including Consolidated Properties’ Monarch Residences and Spyre Group’s ARC Residences.

Sammut secures approval for debut Brisbane apartment development in Toowong

Developer Lanevick is heading back into Sydney’s apartment market after focusing more heavily on the luxury townhouse and terrace sector in recent years.

Lanevick, founded and directed by Steve Maroun, is expecting to receive approval in the coming months for a new apartment development in Gladesville, with the aim to launch it to the market later this year.

The 51-apartment project, designed by Studio Johnston, will comprise a mix of one-, two-, and three-bedroom apartments positioned toward the Hunters Hill downsizer market.

“Traditionally it’s been difficult for people in that market to downsize because there just hasn’t been the right product available,” Maroun said.

“We’re targeting buyers who might have 30 to 40 per cent of their house value sitting in the bank after downsizing.

“They still want good spacious entertaining areas, they still want quality design, but they also want flexibility and the ability to enjoy life a bit more after working hard for a long time.”

The project sits near Boronia Park and within close proximity to the Parramatta River foreshore, an area Maroun says offers more of a Hunters Hill lifestyle than a traditional apartment precinct.

“From a lifestyle perspective, it’s really more Hunters Hill than Gladesville,” Maroun said. “You’re close to the foreshore, close to parklands, and still connected back into the village precinct.”

From level four and above, apartments will capture water views&nbsp;toward Sydney Harbour. Communal amenity will include rooftop entertaining areas, wellness spaces, and a gym tailored toward owner-occupier buyers.

“We’ve really designed these apartments around that buyer coming from the Hunters Hill LGA and what they’re actually looking for in their next chapter.”

The proposed development has also been designed to respond to the changing character of the broader Gladesville town centre, where a growing number of mixed-use and residential proposals are expected to emerge over the coming years.

“Gladesville presented a rare opportunity to deliver a genuinely design-led residential project within an evolving lifestyle precinct, just moments from the growing Gladesville town centre, and we’ve approached the project with a strong focus on architecture, liveability and long-term community value,” Maroun said.

Maroun said Lanevick saw a first-mover advantage within the precinct as planning controls continue to evolve to accommodate greater housing density.

“We think there’s a real opportunity there that hasn’t really been serviced properly yet,” he said.

“There’s going to be a broader evolution of the whole Gladesville village precinct over time, particularly with more activation and mixed-use outcomes.”

The Venus Street proposal will include a commercial and retail component at ground level designed to contribute to that evolving streetscape activation.

“A big part of the thinking was how do you activate that area properly and create more vibrancy and amenity, which is what Hunters Hill has been looking for,” Maroun said.

Lanevick’s focus since 2020 has largely been on smaller-scale luxury townhouse and terrace developments. The developer recently completed Royale Randwick, also designed by Studio Johnston, where prices reached $3.65 million. The project was featured in the UDIA NSW 2026 Professional Development Prospectus and was also named a finalist for Development of the Year.

&nbsp;

Lanevick to cater for Hunters Hill downsizers with new Gladesville apartment development

Property developer One Living, backed by former Macquarie banker turned investment manager Chris Green’s investment firm, has unveiled plans to bring more institutional capital into housing to help address the national supply crisis.

The New York-based investor has focused his firm, GreenPoint Partners, on addressing the supply shortage hitting middle market housing in Australia.

It is backing the new One Living business to develop more than 1000 units along the eastern seaboard. The new firm is starting with a development on Mona Vale Road, on the border of Mona Vale and Pymble, in Sydney’s Northern Beaches, with around 140 apartments planned. They are eyeing off more sites across the city.

With cost pressures rising in the industry, One Living’s model is to be a vertically integrated developer-builder, so it can respond directly to the housing gap by removing the cost inefficiencies embedded in traditional residential delivery.

“We are building a platform designed to operate at scale and starting in a market where there’s a clear need for quality, attainable housing,” One Living joint managing director Joseph Scuderi said.

“It’s that missing middle – it’s that attainable end of housing… that’s what most Australians invest into and what Australians can actually afford.”

<img alt="Mona Vale" data-entity-type="file" data-entity-uuid="798dfa93-4941-4db6-a696-31e9dc18e81c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.31.50%E2%80%AFPM.png?VersionId=mKBqi5C_DmeiXS.AtJkcR8LQIxqCqmFi" />

GreenPoint Partners brings years of experience assembling and scaling real estate operating businesses across major markets. And Green sees a big opportunity in Australia.

“For its size, sophistication and importance to the community, Australia’s living sector has remained largely under-institutionalised, which represents significant opportunity,” Green said. “GreenPoint identified that gap, assembled the right team, and is backing One Living to build a platform that is aligned to market needs.”

Green said being a builder-developer would give the company the capacity and flexibility it required to deliver reasonably-priced homes.

“We want it to be at that attainable level; not super high end luxury but at that attainable level,” he said.

<img alt="Mona Vale" data-entity-type="file" data-entity-uuid="74a5344a-4b26-4d4a-ada3-056b1220be77" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.32.15%E2%80%AFPM.png?VersionId=vY8hXHO4reBMdO8ZXMWCNtGZJofUPQ3j" />

&nbsp;

One Living will undertake a component of affordable housing in its schemes, which it will own and operate, and it could also run build-to-rent on some sites.

Green praised local policy settings.

“The NSW government is being very supportive, strategic and pragmatic in terms of how do we generate more supply of housing,” he said. “We think it’s actually positive for development and the bit that’s been lacking at that attainable level is that it’s lots of relatively small private developers, whereas we want to create an institutional platform.”

One Living is also&nbsp;looking at high-density projects and could take on more institutional funding in the future.

“The way we will be able to achieve economies of scale is through size,” Green added.

One Living enters Sydney's new apartment market with Northern Beaches site acquisition

It's been several years since there's been an opportunity to buy a brand new townhome in Melbourne's coastal suburb of Mordialloc. Even apartment developments in recent times have been few and far between in the area.

Local developer LDS Property identified the gap in new housing, securing a site on White Street, directly opposite&nbsp;Woodlands Golf Club Mordialloc. They've recently launched&nbsp;<a href="https://www.apartments.com.au/new-townhouses/wm-residences-mordialloc-102-white-street-mordialloc-vic-3195">WM Residences</a>, just 13 townhouses which they have already started building.

Projects by Buxton Director Heath Thompson, who is selling WM Residences, says the townhouses x that perfect middle ground be

"Mordialloc residents have had limited options to downsize within the suburb, often forcing them to look elsewhere despite long-standing ties to the area," Thompson says.

"With very little comparable new supply coming to market, projects like WM Residences are well placed, particularly as buyers look to capitalise on current conditions amid constrained supply."

[smartcode_project:default project_id=134646 project_image_fid=6109]

The development, designed by regarded architecture firm&nbsp;<a href="https://www.apartments.com.au/architects/ewert-leaf">Ewert Leaf</a>,&nbsp;adopts a deliberately restrained architectural approach, focusing on simplicity, durability and liveability rather than overt design gestures.

The boutique scale is central to the offering. With only 13 three-bedroom residences, each home is configured to prioritise functional layouts and everyday use, supported by private terraces and secure two-car garages.

Ewert Leaf’s design response leans into a calm, neutral material palette. Interiors are defined by oak flooring, white walls and soft finishes, creating a consistent and understated backdrop. The approach avoids trend-driven detailing in favour of longevity, with an emphasis on natural light and spatial clarity.

[smartcode_project:default project_id=134646 project_image_fid=6110]

Beyond aesthetics, the homes are designed to meet contemporary performance expectations. Each residence targets a minimum 6-star energy rating, incorporating double glazing, comprehensive insulation and all-electric Bosch appliances.

The project’s location supports a walkable coastal lifestyle, sitting within close proximity to Mordialloc’s foreshore, Main Street retail strip and the train station. Local cafés and dining venues, including Suburbia Deli and Hendriks Café, are within a short walk, reinforcing the area’s established neighbourhood character.

[smartcode_project:default project_id=134646 project_image_fid=6116]

While <a href="https://www.apartments.com.au/developments/mordialloc-vic-3195">Mordialloc</a> is often defined by its beach and pier, the project taps into other areas of day to day living, offering easy access to local food, casual dining and transport, rather than positioning itself purely as a lifestyle retreat.

WM Residences reflects a continued trend across Melbourne’s coastal suburbs towards smaller-scale, design-led townhouse developments, particularly on infill sites where proximity to amenity is already established.

With construction commenced prior to its market entry, the project aligns with a growing preference among buyers for developments with visible progress and defined delivery timeframes.

[smartcode_project_cta:default project_id=134646]

WM Residences fills gap in Mordialloc townhouse market

Clearance Rate

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Auction volumes continued to increase across the combined capital cities last weekend, according to CoreLogic.
The national auctions recorded a preliminary clearance rate of near 68 percent.
Number of listings nearly doubled, with 1,464 homes going under the hammer this weekend in comparison to 790 the weekend before.
Click here <a href="https://www.propertyobserver.com.au/images/2018/2/12/CORELOGIC%201.jpg" target="_blank">to enlarge.</a>
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/2/12/CORELOGIC%201.jpg" alt="">
The nation are still behind from this time last year when there were 1,591 auctions held. The February 2017 clearance rate was stronger too, up at 72 percent.
Melbourne had the strongest clearance rate at 72.5 percent, while Sydney was at 68.7 percent, up from 57 last week.
The strongest of Sydney's 15 sub-regions were the Eastern Suburbs (85.2 per cent), the Northern Beaches (79.1 per cent) and the Inner West (75 per cent) regions. 
The lowest clearance rate was across the Sutherland Shire where 46.7 per cent of the 30 reported auctions were successful.
Click here <a href="https://www.propertyobserver.com.au/images/2018/2/12/CORELOGIC%20.jpg" target="_blank">to enlarge. </a>
<a href="https://www.propertyobserver.com.au/images/2018/2/12/CORELOGIC%20.jpg" target="_blank"><img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/2/12/CORELOGIC%20.jpg" alt=""></a>
There was a big divergence in success rates between Sydney's east and the Sutherland Shire. 
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/2/12/CORELOGIC%207.jpg" alt="">
The gap was not as great in Melbourne between strongest region and weakest, i.e. the inner city and the Mornington Peninsula.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/2/12/CORELOGIC%208.jpg" alt="">
 
 
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j.ballantyne1990-6AQqhLzZaK

Clearance rates warming up after January slowdown: CoreLogic

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Australia's top weekend auction sale was on the waterfront at Birchgrove on Sydney Harbour. 
The<a href="https://www.realestate.com.au/property-house-nsw-birchgrove-126924754" target="_blank"> grand 1900s residence</a> (above and below), Clevedon fetched $7,225,000 when the four bedroom Wharf Road offering with art nouveau finishes, was auctioned through Belle Property.
There were four registered bidders.
It sits on a 692sqm parcel taking in views including Balls Head and the Harbour Bridge. There was a self-contained boatshed along with a mooring for a 30ft vessel, with an application lodged to increase permission to 50ft.
It last sold in 1997 at $2.025 million.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/12/11/birch2.jpg" alt="">
Melbourne's Malvern was next priciest as $6.6 million was paid for <a href="https://www.realestate.com.au/sold/property-house-vic-malvern-126962542" target="_blank">6 Moorakyne Avenue</a> (bottom) at its Jellis Craig auction. It was an English-style family residence, renovated by Nicholas Day over a decade ago. It had sold at $3.6 million in 2006.
The nation's cheapest result was when $187,500 secured <a href="https://www.realestate.com.au/property-townhouse-qld-mount+warren+park-126917262" target="_blank" rel="noopener noreferrer">a three bedroom townhouse at Mount Warren Park</a>, near Brisbane's Logan. It was a mortgagee offering which had sold at $251,000 in 2009.
CoreLogic auction analyst Kevin Brogan noted that Geelong, Victoria's second largest city, posted the strongest clearance rate for any market, of 83 percent.
Geelong's sales included a <a href="https://www.realestate.com.au/sold/property-apartment-vic-geelong-126911098" target="_blank" rel="noopener noreferrer">two bedroom apartment</a> at $1.17 million overlooking Eastern Beach.
Capital city auction volumes remained high with 3,353 homes taken to auction over the week.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/12/12/corelogic4.jpg" alt="">
There was an overall preliminary clearance rate of 63.1 per cent, but it's likely to be lower after final results.
The final clearance rate for the prior week was 60.3 percent across the capitals, the lowest this year, ands the lowest reading since late 2015.
Melbourne's clearance rates have been tracking below 70 per cent across for five consecutive week, as volumes across the city have been consistently higher.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/12/11/malvern.jpg" alt="">
The weekend volumes in Melbourne reached their second highest level this year at 1,837 offerings.
Melbourne's weekend results included the history-making yachtsman Jesse Martin whose <a href="https://www.realestate.com.au/property-house-vic-emerald-126999874" target="_blank" rel="noopener noreferrer">Dandenong Ranges family home</a> sold post-auction.
Martin, who became the youngest person to circumnavigate the globe solo in 1999, expected $1.2 million to $1.32 million for the Emerald home.
But the modern main residence that incorporates the site’s original two bedroom 1800s cottage on the 4024 square metre property fetched $1.15 million, the Herald Sun noted. 
One year ago there were 1,685 Melbourne auctions held, with a notably higher clearance rate (78.4 per cent). The Inner region of Melbourne had the highest number of auctions this week (304), with a preliminary clearance rate of 67.3 per cent.
The strongest Melbourne clearance rate was recorded across the North West region, where 74.4 per cent of the 182 auctions held sold. 
Sydney’s clearance rates, which have tracked around the mid-high 50 per cent range over seven consecutive weeks, came in at 58.7 per cent across a total of 990 auctions held, increasing on last week’s final clearance rate of 56.2 per cent when 1,143 auctions were held.
Over the same week last year, 1,163 auctions were held across Sydney and a clearance rate of 73.7 per cent was recorded. Domain put the prior week's revised result at 52 percent.
Across the smaller markets, Canberra recorded the highest preliminary clearance rate this week, while Brisbane returned the lowest again.
In Canberra, 106 auctions were held this week, and of the 84 reported results, 66.7 per cent were successful. Last week, only 102 auctions were held and the clearance rate was a higher 71.6 per cent. This time last year, results were similar with 118 auctions held and a clearance rate of 60.8 per cent.
Canberra prices ranged up to <a href="https://www.propertyobserver.com.au/https://www.allhomes.com.au/ah/act/sale-residential/5-butler-place-campbell-canberra/1317459709911" target="_blank" rel="noopener noreferrer">$1.6 million at Campbell</a>.
There were 183 Brisbane homes taken to auction, with 131 results reported so far. The preliminary clearance rate for the city is 46.6 per cent, up from 42.8 per cent last week and higher than one year ago, when 43.5 per cent of the 206 properties taken to auction were successful. 
Brisbane sales included <a href="https://www.realestate.com.au/property-house-qld-ascot-114528031" target="_blank" rel="noopener noreferrer">a $3.355 million newly built Queenslander in Ascot</a>. The block had sold at $1.3 million in 2014 before its construction.
The now demolished cottage featured in the Dwayne “The Rock” Johnson movie, San Andreas, The Courier Mail noted.
A total of 163 Adelaide homes were taken to auction this week, returning a preliminary clearance rate of 65 per cent across 120 results, up from 59.1 per cent last week when 144 auctions were held across the city.
Adelaide cheapest price was <a href="https://www.realestate.com.au/property-house-sa-highbury-127011518" target="_blank" rel="noopener noreferrer" style="font-size: 12.16px;">$349,000 at Highbury</a>, with views back to the city It had traded at $300,000 in 2007.
It was marketed as an opportunity to renovate the split level home or develop the 614 sqm land.
Perth’s clearance rate of 46.7 per cent across 62 auctions was up from the previous weekend, when 50 auctions were held and a clearance rate of 32.6 per cent was recorded. Over the same weekend last December, the clearance rate was 20 per cent from 76 auctions.
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Sydney's weekend auction clearance rate falling away fast into the very lows 50s

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Over recent weeks, auction clearance rates across the nation’s two largest housing markets (Sydney and Melbourne) have been significantly lower than they were 12 months ago however, they haven’t necessarily been all that much lower than the previous years.  While comparing auction volumes and clearance rates to a year ago is valuable, it is much more valuable to look at how these metrics compare across a number of years.
<h3>Melbourne</h3>
<img src="https://www.corelogic.com.au/sites/default/files/styles/article_image_570w_/public/2017-11/2017-11-27-blogimg1.png" alt="2017-11-27--melbourneweeklyauctionclearancerates" width="570" height="214">
Auction clearance rates in Melbourne are currently substantially lower than they were a year ago.  In fact, the clearance rate of 66.9% last week was the lowest since July of last year.  Although clearance rates are lower than they were a year ago, they are at fairly similar levels to what was being recorded at the same time of year in 2013, 2014 and 2015.  The chart really highlights just how much stronger the auction market in Melbourne was a year ago relative to other recent years.
<img src="https://www.corelogic.com.au/sites/default/files/styles/article_image_570w_/public/2017-11/2017-11-27-blogimg2.png" alt="2017-11-27--melbourneweeklyauctionvolumesoverrecentyears" width="570" height="214">
  The volume of properties being taken to auction, particularly over recent months, has generally been higher than over recent years.  By comparison, in 2016 when clearance rates were much higher than they have been this year, the number of properties being taken to auction was relatively lower than over recent years.  The higher number of properties being taken to auction is likely to be having some impact on the weaker clearance rates this year relative to last however, volumes are also much higher currently than they were in 2013, 2014 and 2015 a time at which clearance rates were fairly similar to current levels. Given this, clearance rates are actually holding up quite well considering much higher volumes of auctions.
<h3>Sydney</h3>
<img src="https://www.corelogic.com.au/sites/default/files/styles/article_image_570w_/public/2017-11/2017-11-27-blogimg3.png" alt="2017-11-27--sydneyweeklyauctionclearancerates" width="570" height="214">
Auction clearance rate in Sydney have been at their lowest levels since 2012 over recent weeks and have been on a steady decline throughout 2017.  If you exclude the low volumes in January, last week’s auction clearance rate of 54.8% was the cities lowest clearance rate since December 2015.  Clearance rates have not been consistently as low at this time of year since 2012.  Clearance rates are substantially lower than they were a year ago and are also slightly lower than they were two years ago when APRAs first round of macroprudential policies were significantly impacting Sydney housing demand.  If the previous round of macroprudential policies is a guide we can expect a further weakening of clearance rates over the coming weeks.
<img src="https://www.corelogic.com.au/sites/default/files/styles/article_image_570w_/public/2017-11/2017-11-27-blogimg4.png" alt="2017-11-27--sydneyweeklyauctionvolumesoverrecentyears" width="570" height="214">
  Unlike Melbourne, Sydney is not seeing a substantially higher number of properties being taken to auction compared to recent years.  In fact over recent weeks there has been an equivalent number of auctions across the city to volumes last year when clearance rates were much higher than they are currently, while there have been fewer auctions than in 2015 when clearance rates were similarly weak.  
There has been clear evidence over recent weeks that auction clearance rates have softened in Sydney and Melbourne.  The falling clearance rates in Sydney are occurring on similar volumes of auctions to recent years but matches the recent declines in dwelling values.  In Melbourne, auction clearance rates have slowed and there has also been a moderate slowdown in value growth.  The big difference in Melbourne has been that auction volumes have been much higher so it is difficult to know if the weaker clearance rates are because of the market overall or due to their being too much stock being put up for auction each week. Keep in mind that clearance rates typically soften through Spring as auction volumes increase so we may have to wait until 2018 to truly understand what is driving the apparent weakness in the Melbourne auction market.
Cameron Kusher is head of research for CoreLogic. You can contact him <a href="https://blog.corelogic.com.au/about/">here</a>.
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What is driving the clearance rate weakness in Sydney and Melbourne? Cameron Kusher

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GUEST OBSERVER
With price growth slowing in Australia’s biggest housing markets, many sellers have been pondering what is the best strategy for a strong sales result.
Prospective sellers keenly eye the auction clearance rate as a leading market barometer, and with a bumper volume of properties to go under the hammer this weekend, property pundits will have their opinions on what figure dictates a sellers’ or buyers’ market.
But when auction volumes fluctuate, the clearance rate is not the best way to determine buyer sentiment. While it indicates the percentage of properties selling via auction, it doesn’t address the number of sellers achieving success through this method. It also doesn’t capture the number of properties sold through post auction negotiations in the day following the event.
For the record, LJ Hooker, in general, believes auctions are the best method to capture a wide net of buyers in a short-time period, and offers the greatest potential for sellers to achieve a premium result. But in slowing markets, the real efficacy of auctions is laid bare.
In Sydney – the nation’s largest market – data for the September quarter showed the median house price moderated -1.9% over the period. In comparison, the median price had risen 8.2% over the last 12 months. In the second largest market of Melbourne, growth slowed to 1.3% over the quarter, however, it’s still up 13.9% gain over the year.
When price growth slows, sellers want a quick way to capture the last measurements of growth. An auction provides the market with a three to four-week timeframe to put their best offer forward.
And in slowing markets, a nominated price can often be the first thing which deters a buyer from exploring a property and assessing it for its suitability for lifestyle or location, rather than price. 
Nationwide, 18,349 properties sold at auction in the last quarter, which was a 14 per cent increase compared to the September quarter last year (16,147).
In Sydney, there were 9,968 auctions over the same period this year, compared to 8,249 for the same period in 2016. 
While the average daily auction clearance rate dropped from 76 per cent to 69 per cent over the period year-on-year, more homes sold under the hammer in Q3 this year (6,678) than the same period last year (6,517).
Economics dictates that clearance rates will increase when there is an under-supply of auctions; conversely, it’s likely that the clearance rate will drop when there is a flood of properties on the market. 
Property markets fluctuate in cycles – it’s a tenet that’s almost as certain as death and taxes. But don’t hinge your assessment of market performance on auction clearance rates – the underlying data shows more people are having success selling via auction.
David Holmes is national auction manager with LJ Hooker.
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jrobinson-rf4aSBido9

The truth about clearance rates: LJ Hooker's David Holmes

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<div>The final auction clearance rates for last weekend have been released.</div>
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<div>They show Sydney's clearance rate begins with a '5' for the first time since late 2015, CoreLogic analyst Cameron Kusher noted.<a href="https://twitter.com/hashtag/ausbiz?src=hash" data-query-source="hashtag_click"> </a>
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<div>Sydney's revised success rate was put at 58.3 percent.</div>
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<div>Canberra edged ahead of Melbourne which is still above 70 percent.</div>
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Sydney's spring clearance rate slips into the 50s, while Canberra soars

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The clearance rate across the combined capital city auction market fell to 67.8% over the September 2017 quarter, down from 71.7% over the June quarter, according to CoreLogic.
On a quarterly basis, clearance rates fell across the larger auction markets, with Sydney down 6.5% to 66.8%.
Melbourne was down 3.1% to 72.6%, while clearance rates also fell across Brisbane (2.3%) and Adelaide (1.5%).
Clearance rates improved across the smaller markets, with Tasmania recording the largest increase in clearance rates over the September quarter, up 13.2% to 65.6%, followed by Perth, up 6.3% to 43.4%.
Canberra increased by 2.8% to 71.1%.
Overall, the combined capital city clearance rate for the September quarter is lower on both a quarterly and annual basis.
Looking at auction volumes across the combined capital cities, there were 1,278 fewer homes taken to auction over the September quarter when compared to June 2017.
Brisbane was the only capital city to see an increase in auctions over the quarter, with an additional 88 homes taken to auction.
Although the number of auctions held across the combined capital cities fell over the quarter, auction activity is 26.4% higher than the same time last year, with 27,953 homes taken to auction over the September 2017 quarter, up from 22,119 in September 2016. 
Across the non-capital city markets monitored by CoreLogic, the Sunshine Coast (up 2.6%) and Geelong (up 2.3%) were the only regions to see an increase in the auction clearance rate over the September quarter.
The biggest fall was seen across Wollongong, where the clearance rate fell 14.4% from 70.4% over the June quarter, to 56.1% over the September quarter.
Clearance rates across the Hunter region remained relatively stable, down just 0.6% over the quarter, while the Gold Coast clearance rate fell 5.6% to 39.1%.
Auction volumes fell across all but one of the regional markets over the September quarter, with the Sunshine Coast the only place to see an increase in activity, hosting an additional 73 auctions.
Compared to this time last year, Geelong saw a significant increase in auction activity with 501 auctions held this quarter, 154 more than September 2016. 
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September quarter auction clearance rates ease with Tassie going against the trend: CoreLogic

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The weekend auction clearance rate in Sydney came to 69.6 percent on Saturday, just above the previous weekend’s public holiday rate of 67.1 percent according to domain's Andrew Wilson.
He said over the first two weeks of winter, Sydney’s auction market has had consecutive sub-70 percent clearance rates.
"It’s the lowest fortnightly result since December 2015, when the market was impacted by increases in mortgage rates," he said.
"Last year’s winter market was reactivated by the May cut to official interest rates and although auction results have clearly declined over recent months, a similar revival may be in prospect this year with significant stamp duty reductions for first-home buyers coming into force on July 1.
"Record level auction numbers may also be impacting the local market, providing buyers with more choice and sellers with more competition.
"A total of 787 homes were listed for auction at the weekend, which was predictably higher than the previous weekend’s holiday total of 406 and also well ahead of the 650 auctions conducted over the same weekend last year.
"June is set to follow May as a monthly record for auctions with next weekend again set to test the fading market with nearly 750 homes set to go under the hammer."
 
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jonathanchancellor-7SQnKwU6yx

Consecutive sub-70 percent clearance rates for Sydney's weekend auctions

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Melbourne reported a strong clearance rate of 80.1 percent over the Queens Birthday long weekend, sharply reversing the weakening trend of the past month according to Domain's Andrew Wilson.
He said this figure was well above the year-low 75.9 percent recorded the previous weekend and well ahead of the 65.8 percent recorded over the same holiday weekend last year.
"The local market hosted typically low numbers of holiday listings at the weekend with just 267 auctions scheduled, which was well below the previous weekend’s 1047 auctions but similar to the 265 conducted over the Queen’s Birthday holiday weekend last year," he said.
"The Sydney home auction market tracked back sharply over the Queen’s Birthday holiday weekend, continuing the declining trend of the past month
"Though it was a predictably slow weekend, with 407 homes on offer, it was still the most auctions ever held over a Queen’s Birthday public holiday. 
"Sydney recorded a clearance rate of 67.1 percent on Saturday, which was well below the previous weekend’s 74.3 percent and also lower than the 70.4 percent recorded over the same holiday weekend last year, when 284 auctions were held.
"Saturday’s clearance rate was the fourth consecutive decline in weekend results and the lowest rate recorded by the local market since December 2015."
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Melbourne auctions strong for long weekend, Sydney retreats

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Sydney's property boom is now in its fifth year - an unusually long period with unusually high price growth.
But the May auction results suggest there's been a light tap on the breaks.
The slightly lower Saturday auction success has contributed to the current thinking that we've perhaps seen the peak. 
But which peak?
Last weekend Ryde recorded the strongest clearance rate of 90 percent from 46 auctions, but Blacktown, with half the volume, secured just 55 percent.
The overall Sydney figure was 76 percent.
There's so many markets across Sydney each having their own telling characteristics.
As a buyer or seller in the market, it is important to take note of the suburban, citywide and national trends, as they all contribute to the commentary which shapes sale outcomes.
Despite it being at the pricier end of activity, auction trends are a portent of the wider property market direction.
There are indicators that cover the private treaty market.
Some of these have yet to suggest any shift in sentiment, but these to tend to lag auction momentum so should emerge over coming months.
Days on market for Sydney private treaty sales sits at a speedy 28 days, the nation's fastest market, CoreLogic advise. The buying discount off the vendor asking price is just four percent.
Stock on market is up six percent suggesting a bumper winter selection for buyers.
The latest CoreLogic figures show supply of established housing stock for sale is at the highest level for this time of year since 2012.
Estate agent John McGrath senses the booming market has turned.
"Demand softens because prices get to such a high point after a long period of growth that buyers start giving up and exiting the market."
Would-be upgrader buyers choose to stay put and renovate or extend because they feel trading up is just too difficult.
"Whether this new data from CoreLogic indicates a turn of the cycle or a blip, we don’t yet know," McGrath said.
But his feeling is that Sydney is at, or around, its peak for the cycle.
"We’re certainly overdue for a period of price consolidation, which I continue to believe is a healthy sign for the market.
"Vendors are still in the driver’s seat but this won’t last forever, especially if demand is on the way down."
Along with the auction and private treaty market, there is another major segment, separate but also infectious, which is off the plan apartment offerings.
One index I like is the number of residential cranes on the Sydney skyline. According to the latest count, there are 34 more over the past six months. The 292 cranes total account for 53 percent of all Australian residential cranes, the RLB Crane Index indicated. 
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jchancellor-FAypfDUnLy

May auction results suggest Sydney's property boom may be slowing

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The weekend preliminary auction clearance rate remains strong despite last autumn auction volumes increasing marginally, according to CoreLogic.
The property data firm says that Melbourne had the highest preliminary clearance rate at 77.3 percent.
The amount of auction activity across the capital cities increased slightly this week, up from 2,824 last week to 2,850 this week, while this time last year auction volumes were lower, with 2,480 homes taken to auction across the combined capital cities.
<a href="https://www.propertyobserver.com.au/images/2017/05/28/Screen%20Shot%202017-05-28%20at%2010.39.51%20am.jpg" target="_blank">Click to enlarge</a>
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/05/28/Screen%20Shot%202017-05-28%20at%2010.39.51%20am.jpg" alt="">
This week’s preliminary weighted average clearance rate across the combined capitals was 74.6 percent, increasing from 73.1 percent over the previous week and up from 67.7 percent one year ago.
<a href="https://www.propertyobserver.com.au/images/2017/05/28/Screen%20Shot%202017-05-28%20at%2010.39.59%20am.jpg" target="_blank">Click to enlarge</a>
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/05/28/Screen%20Shot%202017-05-28%20at%2010.39.59%20am.jpg" alt="">
Melbourne saw the highest preliminary clearance rate across the cities at 77.3 percent, down slightly from last week.
Sydney's clearance rates increased week-on week though Adelaide and Tasmania saw clearance rates fall.
There were 1,350 Melbourne auctions this week, making it the busiest capital city for auctions. Across the 1,155 reported results, 77.3 per cent were successful this weekend.
The number of auctions held and the clearance rate across Melbourne this week were very similar to last week, when 1,326 auctions were held and a clearance rate of 77.9 percent was recorded.
Interestingly, the clearance rate in Melbourne is yet to fall below 75.0 percent so far this year.
<a href="https://www.propertyobserver.com.au/images/2017/05/28/Screen%20Shot%202017-05-28%20at%2010.40.08%20am.jpg" target="_blank">Click to enlarge</a>
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This week’s strongest performing Melbourne sub-region was the Outer East with 88.8 percent of auctions clearing.
This week, 1,086 Sydney homes were auctioned and preliminary results show that 76.2 percent were successful, increasing from 74.0 percent last week across 1,075 auctions.
One year ago, 811 auctions were held across Sydney and a clearance rate of 73.2 percent was recorded.
<a href="https://www.propertyobserver.com.au/images/2017/05/28/Screen%20Shot%202017-05-28%20at%2010.40.16%20am.jpg" target="_blank">Click to enlarge</a>
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Ryde recorded the strongest Sydney clearance rate of 90.9 percent across 46 auctions, followed by Sydney's Inner West at 88 percent.
There were 159 Brisbane homes taken to auction this week, with 109 results reported so far.
<a href="https://www.propertyobserver.com.au/images/2017/05/28/Screen%20Shot%202017-05-28%20at%2010.40.26%20am.jpg" target="_blank">Click to enlarge</a>
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The preliminary clearance rate for the city is 56 percent, up from 46.3 percent last week and stronger than one year ago, when 41.7 percent of the 192 properties taken to auction were successful.
Adelaide recorded a clearance rate of 54.9 percent across 111 auctions this week, down from 62.9 percent across 116 auctions last week.
<a href="https://www.propertyobserver.com.au/images/2017/05/28/Screen%20Shot%202017-05-28%20at%2010.40.34%20am.jpg" target="_blank">Click to enlarge</a>
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/05/28/Screen%20Shot%202017-05-28%20at%2010.40.34%20am.jpg" alt="">
At the same time last year, 125 Adelaide homes were taken to auction, with 52.6 percent recording a successful result.
In Perth, 46 auctions were held this week, and of the 14 reported results, 71.4 percent were successful.
Last week, 50 auctions were held and the clearance rate was a lower 35.3 percent.
This time last year, 58 auctions were held and a clearance rate of 30.6 percent was recorded.
Canberra’s clearance rate of 75.9 percent across 93 auctions is up from the previous week, when 83 auctions were held and a clearance rate of 74.4 percent was recorded.
Over the same week last year, the clearance rate was a lower 70.5 percent, and 109 auctions were held.
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