Rebound in Sydney
Melbourne recorded its lowest preliminary auction clearance rate since mid-February this week according to CoreLogic-RP Data, suggesting that when all results are collected the market may be softening as new supply flows online.
On the other hand in Sydney the preliminary auction clearance rate rebounded to 82.6 per cent, up from by 7.4 per cent over the past year.
There were some extraordinary results including a suburb record sale of more than $2 million in Mascot, although the inner west continues to be the market's star performer with a 92.7 per cent clearance rate.
Brisbane has also gradually been building some solid momentum since 2011.
This week's auction clearance rate of 65.4 per cent well up on last weekend's 52.5 per cent, as well as being an improvement on the same weekend of last year when a 56.9 per cent clearance rate was recorded.
Although there has been a significantly greater volume of auctions in Sydney in July than was the case last year, stock on market is at the lowest level we've seen, while investor lending hit yet another record high in May.
Houses are therefore selling at the fastest pace on record.
The market regulator APRA is now taking concerted action to quell investor activity, with some lenders now requiring 20 per cent deposits and serviceability thresholds being raised.