A spike in new listings of homes for sale has heralded the start of a series of spring bumper auction events on the Gold Coast.
PropTrack data shows new offerings picked up 6.7 percent in regional Qld in the month leading up to the traditionally busy season, as the city’s real estate sector pulls out all the stops to counter the 2022 refrigeration market.
Surfers Paradise has sprung up in the suburbs of Qld, with 36 homes expected to go under the hammer in the first six weeks of spring, the latest figures show.
That puts the Glitter Strip suburb just behind Buderim on the Sunshine Coast, where 44 auctions were scheduled.
Southport, Paradise Point, Mermaid Waters and Runaway Bay were other local auction hotspots, while Pacific Pines claimed the largest increase in the state, with six times more auctions than the same period last year.
Parkwood, Tallebudgera, Runaway Bay and Coomera also saw a rebound in September.
PropTrack economist Cameron Kusher said buyers would have more choice in the spring, with demand falling from its peak early this year.
“We also see properties taking longer to sell,” said Mr. Kusher.
“Sellers who are willing to set attractive prices and meet the market are still selling successfully, but buyers have less urgency and are more critical of buying than in years past.”
Kusher said more affordable areas of the coast could see a further increase in auction activity as buyers struggled with reduced borrowing capacity after the Reserve Bank of Australia raised interest rates for the fifth straight month.
Auctioneer Justin Nickerson of Apollo Auctions said his group’s clearance rate in southeast Qld rose to 73 percent last weekend, after hovering between 50 and 60 percent for the past six weeks.
“That’s still a very healthy cleanup rate,” said Mr. Nickerson.
“It feels a lot worse than what it is, after last year’s frenzy, which was just an incredible year where the cleanup rates were around 80 percent for the whole year, and in fact at 90 percent for most of it.
“The market has found normality and where we are now is sustainable,” he said.
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Buyer’s agent Oliver Dunstan, of Rose and Jones, said sellers were now more willing to negotiate to sell their property on auction terms.
“If you don’t get caught up in the fanfare, auctions are a good way to buy when you have a genuine seller ready to sell their property at auction,” said Mr Dunstan.
Upcoming auction highlights include the luxury compound of world motorcycling champion Mick Doohan, where Hollywood star Johnny Depp and his ex-wife Amber Heard reportedly clashed in 2015.
The 18-hectare estate on the Coomera River is being marketed by Amir Mian, of Amir Prestige, and will go up for auction at the agency’s Grand Spring Auctions on Wednesday, along with more than 40 other homes.
Mian said he was “stunned” by the increase in activity through September.
“Spring always brings people out and we’re seeing more real buyers now,” he said.
“People want to settle in before Christmas, so they want to buy now.
“An auction campaign puts your house in the spotlight and gives people a deadline. It forces sellers to make a decision and it forces buyers to make a decision,” Mian said.
Ray White Surfers Paradise (RWSP) has 53 properties up for auction in September and hosts the Spring Carnival event at the Gold Coast Turf Club on Thursday.
RWSP chairman Andrew Bell said auctions remained the group’s most successful selling method, with a clearing rate this month at 87 percent.
“This shows a significantly higher success rate over 30 days than private treaty sales. As usual, a significant number of properties have been sold prior to the day of the auction as pre-auction offers are made by buyers at a level that sellers are very happy with be,” said Mr. Bell.