Perth auction clearance rates react to August RBA cut

Media release - 2nd September, 2016

Underlining the benefits of selling at auction, clearance rates edged higher in Perth last month, with a highpoint of 83% recorded on the second Saturday of August, according to leading property group, Raine & Horne.

“The clearance rate in Perth hit a very promising 83%, although the highpoint was bookended by weaker weekends where cold, wet, weather and some high profile AFL games kept bidders away from auctions,” said James Pratt, Director of Auction Services, Raine & Horne.

“However, the strong showing in the middle of August proves that selling a Perth home under the hammer can work, and we expect auctions to grow in popularity as the weather warms up, which is excellent news for Perth owners considering spring market property sales.

“For vendors, there are a number of factors running in favour of using an auction, including improving clearance rates, while days-on-market for Perth properties which sell under the hammer, is 28 days less than for private treaty sales.”

Randolph Watson, a Sales Agent from Raine & Horne Mandurah, who has listed a recently renovated 3-bedroom, 1-bathroom house at 15 Owen Street, Mandurah for auction on Saturday 3 September, said the auction process helps educate owners about the value of their properties. In Mandurah, the median house price is $332,000, according to Raine & Horne.

“The auction process is relatively underutilised in Mandurah, yet we’re finding it’s the best method for achieving premium prices,” said Mr Watson.

Another appeal with an auction sale is that it’s a straight up transaction, according to Alec Marra, Principal Raine & Horne Bunbury. The median house price in Bunbury is $510,000.

“There is no cooling off periods and the transaction is finalised on auction day,” said Mr Marra.

“Auctions provide vendors with a clear and precise understanding of the buyers’ interests.”

–ENDS–

For further media information contact:

Andrew Harrington, National Communications Manager, Raine & Horne on 02 9258 5400