Vendors pinning hopes on rate cut; Six bidders endure hour-long auction

Just 1,835 auctions were held across capital cities this week, but that will increase to well above 2000 next week, following the highly anticipated meeting of the Reserve Bank on Tuesday.

“With the cash rate widely expected to reduce on May 20, the volume of scheduled auctions is set to rise to around 2,360 next week - a 29 per cent jump on the current week, before rising to around 2,700 auctions the week after,” said Cotality research director Tim Lawless.

“It seems many vendors are holding out for the RBA’s interest rate decision on Tuesday,” he said.

This week’s auction numbers were 300 lower than at the same time a year ago, but 50 more than the week prior, with the preliminary clearance rate dropping below 70 per cent.

“After holding above the 70 per cent mark for the past two weeks, the preliminary clearance rate slipped back to 68.8 per cent across the combined capital cities,” Mr Lawless said.

He said this week saw the highest number of auctions since the week prior to Easter, when 3,066 homes went under the hammer.

In East Brisbane, a stunning tri-level, four-bedroom home has sold under the hammer for $3.360 million following a nail-biting, 60-minute-long auction.

The home at 8 Gresham Street, which features luxurious indoor and outdoor living across three levels, including a large al fresco area with a full outdoor kitchen, pizza oven, and swimming pool, and a lower floor home cinema and garage, attracted six registered bidders, who went head-to-head for an hour.

Chief auctioneer Peter Burgin from Place estate agents in Brisbane who called the auction inside the living area of the home, described the auction as an “arm wrestle.”

Meanwhile, listing agent Sarah Hackett from Place New Farm said she was thrilled to have six registered bidders take part in the fiercely competitive auction on Saturday after having just two registered bidders just 24 hours earlier.

Records show the home last sold 24 years ago for $706,000.

Brisbane hosted 134 auctions, up from 107 a week ago and compared to 178 at the same time last year.

“After bouncing higher last week to 69.7 per cent (revised down to 59.8 per cent), Brisbane’s preliminary clearance rate weakened, dropping back to 59.6 per cent,” Mr Lawless said.

Sisters sell home for retirement unit

In Adelaide, five of the 15 bidders who registered to bid on a charming, three-bedroom, double-fronted sandstone villa in one of the best streets in Keswick have pushed the final selling price to $1.450 million.

Listing agent Daniel Seach from Ray White Black Forest said two sisters have lived together in the home at 14 Chatham Road for the past 17 years and listed the home for sale as they are now moving into a retirement unit.

“It was an emotional sale for my sellers,” said Mr Seach of the home, which sold in front of a crowd of more than 60 people.

The home was built in c1910 and maintains many original features, such as high, ornate ceilings, hardwood floors, open fireplaces and stain glass windows.

“The auction kicked off at $1.1 million and it escalated from there,” he said.

“We were shocked when someone lobbed a huge $100,000 bid but it still wasn’t enough.”

“A young couple won the keys today. They are upsizers who had sold in January and had been looking for a few months to buy their forever home,” Mr Seach said.

In Adelaide, 132 homes went under the hammer, up from 109 auctions a week ago.

Meanwhile, the preliminary clearance rate fell to 64.1 per cent, from 66.7 per cent a week ago, and well below the same time last year when the clearance rate was 82.7 per cent.

Market still favouring sellers in Perth

In Mosman Park, nestled between Fremantle and Cottesloe, the Swan River and the coastline, a contemporary three-bedroom, two-bathroom home has sold at auction for $2.020 million.

While four parties registered to bid on the light-filled home at 4 Monument Street, just three of them took part in the fast-paced auction.

Lead agent Jody Fewster from Ray White Cottesloe/Mosman Park said the airy home, with seamless indoor outdoor living spaces, proved popular with investors and owner-occupiers.

“It was a very strong campaign, we had heaps of people through the home,” said Ms Fewster, with the home selling in front of a large crowd on Saturday.

She said the vendors, who have built a new home, were “over the moon” with the result.

“They will be moving but staying in the area that they know and love,” she said.

Ray White Western Australia CEO Mark Whiteman said the market remained strong across all price points of the Perth market.

“Continued tight listing numbers is maintaining the pressure on buyers and prices across the west coast,” he said.