Sydney auctions deliver 90 per cent success rate amid crushing shortage of listings

Desperate home seekers hoovered up almost anything that came up for auction across Sydney this weekend amid low advertised stock levels and rampant buyer competition.

Data from realestate.com.au showed a preliminary clearance rate of 90 per cent for weekend auctions, while agents reported multiple sales with more than 15 registered bidders.

To put those numbers into perspective, Sydney auction clearance rates have historically been around 65 per cent and three to five registered bidders has usually been the norm at auctions in recent years.

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Buyer competition was particularly strong in the eastern suburbs, where 25 bidders registered for the auction of a three-bedroom unit in Coogee with ocean glimpses. The Hill St unit sold for $1.71 million.

Another Coogee unit with ocean glimpses on Arcadia St attracted 15 registered bidders and sold for $1.447 million.

On nearby Brook St, 22 bidders registered for the auction of a rundown two-bedroom unit and the strong competition pushed the price to $962,000 – $162,000 over the reserve price.

Selling agent Nick Simitzis of Belle Property-Randwick said he had expected the home to sell for about $850,000 considering it needed considerable work.

“For the price it got, you can actually buy a better condition unit in Coogee and not have to renovate,” he said. “Something about the home seemed to grab people’s imagination. They saw it as a blank canvas.”

Auctioneer Jake Moore of Cooley Auctions dropped the gavel on the three Coogee units and said bidders were using “bullish” tactics.

“They’re trying to bid faster and in higher increments than the last bidder. The bidding is very confident,” he said.

In Surry Hills, a terrace on Goodlet St sold for $3.21 million.

Selling agent Darren Pearce of BresicWhitney was tight-lipped about the reserve but said he had expected the house to sell for about $3 million based on sales of comparable properties. All four of the registered bidders participated.

In Elizabeth Bay, a luxury home built in the Queen Anne revival-style sold for $8.5 million. Known as “Keadue”, the house on Elizabeth Bay Rd was built circa 1890. The six-bedroom house is on 512 sqm.

There was also strong bidding in the Sutherland Shire and St George area.

Ten bidders, mostly first homebuyers, registered for the auction of a four-bedroom house on Akuna Ave in Bangor and it sold for $1.28 million.

The price paid under the hammer was $130,000 over the ­reserve and $280,000 above the opening bid. Five of the registered bidders competed for the property and 40 bids were placed.

The home was listed with Stone Real Estate agent Coleen Bowen, who showed more than 200 groups through the open for inspections.

Auctioneer and Avenue Auctions director Andrew Cooley said it was the “perfect” home for first homebuyers and young couples looking to start a family.

“Stock levels are down 35-40 per cent, hence (there’s) strong buyer competition,” Mr Cooley said.

In the southwest, bidders tried bold tactics at the auction of a two-level house on Bancroft Rd in Abbotsbury and the house sold for $1.36 million, $110,000 over reserve.

Auctioneer Rocky Bartolotto said a dozen buyers registered for the auction and there were a number of attempted “knockout” bids but they didn’t have the desired affect.

“Offering $40,000 or $50,000 used to mean you’d get the house, but in this market all it does is slow (the auction) down.”

In the northwest, a unit at 188 Waterloo Rd in Marsfield sold for $125,000 over the $1 million reserve after attracting 26 registered bidders.

Auctioneer Alex Pattaro of Ray White said the market was running so strong that buyers knew they had to “go above and beyond”.

“Opening bids are coming in very fast and the bidding is going up in big increments from bidders trying to scare off the competition. It’s not working because buyers are willing to spend a lot.”

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