Property in Sydney and Melbourne run hot amid winter

SYDNEY realtors defied the gloomy winter weather, with auction clearance rates hitting a 10-month high on the weekend.

Home-buyers braved Saturday’s rain, spending $ 117.7 million on 148 properties across the city, pushing up the clearance rate to 63.5 per cent from 52.6 per cent the week before. It was the highest rate since September, The Australian reports.

The Sydney clearance rate has only topped 60 per cent on six occasions since September 11, when it hit a high of 69.5 per cent.

The Melbourne market also rose, with realtors clearing 61.7 per cent at auction on Saturday, generating $ 60.3m as 92 properties sold under the hammer.

A week earlier, 130 properties were sold, netting $ 73.3m, with a clearance rate of 55.1 per cent. Melbourne’s highest rate in the past 10 months was on October 30 last year when 72.7 per cent of properties were cleared at auction.

Real Estate Institute of Australia acting president Pamela Bennett said the upturn was due to vendors being more realistic about meeting buyers’ price expectations, as well as people’s desire to move on in life.

“It is always difficult to know all the indicators, but the market has been quiet and low for a while and it gets to a point where people want to move on with their life; they see what they like and they want to buy,” Ms Bennett said.

Source: news.com.au