Home auctions crash as rate rises squeeze buyer budgets
Australia's property auction clearance rate fell to 48.2 per cent, down sharply from 67.4 per cent a year ago.
Rising interest rates are crushing home auctions. The national clearance rate on Saturday was 48.2 per cent, compared with 67.4 per cent at the same time in 2025, according to housing data firm Cotality.
Brisbane fared worst at only 25.6 per cent, while Adelaide and Canberra reached 41.5 and 41.7 per cent respectively. Melbourne and Sydney topped more than 50 per cent but still signal falling prices.
The Reserve Bank raised interest rates to a 15-year high of 4.6 per cent last month, squeezing buyer borrowing power. House prices have dropped 1.1 per cent nationally in recent weeks and 5.2 per cent from their March peak.
Buyers and sellers cannot agree on fair value; many buyers hold their ground rather than pay prices they see as inflated.
- 48.2 percent, down from 67.4 percent
- National clearance rate
- 4.6 percent (15-year high)
- Interest rate
- 25.6 percent
- Brisbane clearance rate
- 5.2 percent
- Price drop from March peak
Why it mattersLower clearance rates mean fewer homes sell and prices face deeper falls, affecting sellers' equity and buyers' timing.
AustraliaAustralian home buyers face smaller budgets and fewer homes selling; prices are expected to fall further before buyers feel confident.
✓ Claims checked against the source. checked 54 min ago
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