Australia Property

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Housing market loses some of its heat as supply increases
THE AUSTRALIAN NOVEMBER 10, 2014 12:00AM

Gina Rushton

Journalist
Sydney
AUCTION clearance rates have slowed across the country as ­listing numbers grow and housing supply threatens to overtake ­demand.

Sydney experienced a clearance rate of 75.5 per cent — its lowest since the first week of July — while Melbourne recorded 71.6 per cent at the weekend, Australian Property Monitors said.

RP Data recorded a clearance rate of 45 per cent in Brisbane, 61.3 per cent in Adelaide, 50.6 per cent in Canberra and 56.3 per cent in Perth.

“After a fortnight of mild ­improvement, the ongoing high volumes are clearly having an ­impact, with a lower clearance rate this week,” RP Data’s Robert Larocca said.

It wasn’t the prestige suburbs keeping the market afloat.

Sydney’s inner-city and eastern suburbs produced “underwhelming” clearance rates of less than 70 per cent at the weekend despite their price growth and popularity, APM chief economist Andrew Wilson said. “The budget suburbs in Sydney’s west and Melbourne’s southeast recorded the best rates,” he said.

Sydney can expect a record November, with more than 5000 auctions expected to be held this month — the highest number ever recorded, according to APM.