property
Auction Clearance Rates Signal Cautious Market in Perth CBD
Clearance rates slipped to 64 percent in the final week of June, pointing to selective bidding on central listings.
How we reported this
Auction clearance rates in Perth CBD dropped to 64 percent for the week ending 30 June, down from 71 percent the previous month.
The decline arrives as more vendors test the market with higher reserves while interest rate pressures linger for local buyers. Clearance figures matter now because they track immediate demand in a precinct where supply has increased since March, with 48 new listings recorded on the central business district register.
Two recent auctions highlight the pattern. A two-bedroom apartment at 88 St Georges Terrace passed in at $785,000 before selling privately two days later for $762,000. On the same day, a one-bedroom unit above the Elizabeth Quay promenade reached its reserve at $645,000 after three registered bidders dropped out.
Recent Auction Results
Figures released by the CBD Property Council show 22 auctions conducted between 23 and 30 June. Only 14 properties met their reserves on the day. Average days on market for cleared lots stood at 28, up from 21 in May. The longest campaign involved a heritage office conversion on Barrack Street that finally cleared after 47 days.
Local agents note that buyers now inspect three or four properties before lodging bids, compared with two earlier in the year. Parking allocations and strata levies have become frequent sticking points during negotiations.
Implications for Buyers
Prospective purchasers should attend at least two auctions in the same street before committing to a bid. Checking recent comparable sales at the Landgate office on St Georges Terrace provides a clearer reserve benchmark than online estimates. Vendors who set reserves within 5 percent of recent sales data continue to achieve clearance, while those seeking 10 percent premiums face longer campaigns.
Next week’s schedule lists eight auctions, including a three-bedroom penthouse at 120 Mounts Bay Road scheduled for 15 July. Early inspection of the strata records and body corporate minutes remains the most direct step for any bidder aiming to avoid post-auction surprises.
This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.