Melbourne’s auction market consolidated last weekend’s strong result with another robust clearance rate at the weekend. The 75.3 percent recorded was just below the 75.5 percent recorded the previous weekend and just below the 77.7 percent recorded over the same weekend last year.

The Melbourne winter auction market is now rising towards spring with the current four weekend average at 74.8 percent compared to the previous four weekend result of 72.9 percent.

Next weekend is the last Saturday auction day before spring begins with listings set to rise significantly through to the end of the year.

Auction numbers in Melbourne have risen steadily over recent weekends with this weekend 647 auctions scheduled compared to the previous weekend’s 623 and the 592 listed over the same weekend last year.

Melbourne’s south east again recorded the best result of all the suburban regions at the weekend with a strong clearance rate of 82.6 percent. This was closely followed the by outer east with 81.8 percent with the inner south at 78.7 percent, the inner east 77 percent, the north 73.8 percent, the north east 73.7 percent and the west 71 percent.

Notable sales in the inner south reported at the weekend included a  5  bedroom home at 5 St Kilian  Street Hampton sold by Hodges for  $2,620,000, a  3  bedroom home at 1/13a Dendy  Street Brighton sold by Marshall White for  $2,230,000, a  1  bedroom home at 23 Huntingfield  Road Brighton sold for  $2,006,000 by Nick Johnstone and a  4  bedroom home at 68 Comer  Street Brighton East sold by Buxton for  $1,920,000.

The most expensive property reported sold at auction at the weekend was a 5 bedroom home at 589 Riversdale Road Camberwell sold for $3,280,000 by Marshall White. The most affordable property reported sold at the weekend was a 1 bedroom unit at 1/68 Woornack Road Carnegie sold for $230,000 by Biggin and Scott.

First home buyer numbers continue to rise in the Melbourne market as this group gradually re-energises. According to latest ABS data, 1715 first home buyer loans were approved in Victoria over June which was the same result as recorded over the previous month.

Despite the flat result over the month, the June result was the highest monthly total recorded in Victoria by first home buyers since August 2013.

First home buyers however account for just 8.6 percent of Victorian housing loan activity which is just above the record low market share of 8.1 percent reported in April this year.

First home buyers will continue to gradually work their way back into the Melbourne market as low interest rates and flat house price growth improves affordability for this group. 

Dr Andrew Wilson is Domain Group Senior Economist 

Results at http://www.homepriceguide.com.au/