Key takeaways:
Auction volumes increased. Cotality recorded 1,406 capital city auctions, up 10.2% from the previous week but 31.9% lower than a year earlier.
Clearance rates eased. The preliminary combined capital city clearance rate fell from 56.5% to 53.2%.
Local results varied. Sydney recorded a 56.6% preliminary clearance rate, while North Sydney and Hornsby reached 70%.
Preparation still matters. A Canberra property sold before auction to buyers who could meet the seller’s contractual and settlement requirements.
More homes went under the hammer last week, while the lower preliminary clearance rate may indicate buyers and sellers were not always meeting on price.
For buyers, that may mean more properties to assess and, in some cases, opportunities to negotiate before or after auction. However, conditions continue to vary between cities, suburbs and individual homes.
The practical takeaway is that buyers should not rely on a headline clearance rate alone. Understanding local competition, recent comparable sales and their own borrowing position may provide a clearer basis for deciding whether to bid, negotiate or keep looking.
What happened at auctions this week?
Cotality’s preliminary auction results show 1,406 homes went to auction across the combined capital cities in the week ending 23 August 2026.
That was 10.2% higher than the previous week’s 1,276 auctions, although volumes remained 31.9% below the same week last year.
The preliminary combined capital city clearance rate was 53.2%, down from 56.5% in the previous week’s results.
Of the 1,406 scheduled auctions, Cotality had collected 1,032 results when the preliminary figures were published. Of those reported results, 549 were recorded as successful and 483 as unsuccessful.
Capital city | Preliminary clearance rate | Auctions |
|---|---|---|
Sydney | 56.6% | 482 |
Melbourne | 55.4% | 600 |
Brisbane | 40.4% | 153 |
Adelaide | 54.8% | 92 |
Canberra | 41.4% | 67 |
Perth | Not reported* | 11 |
Tasmania | Not reported* | 1 |
Combined capitals | 53.2% | 1,406 |
The table has only been reformatted. No figures have been changed.
What are buyers seeing in Sydney?
Cotality’s latest four-week listings data provides broader context. It shows there were 83,995 properties listed for sale across the combined capital cities, 23.8% more than a year earlier. However, the number of new listings was 3.2% lower.
Tom Gu of Aussie Chatswood said some of his Sydney customers were still encountering competition for suitable properties, despite taking longer to make a decision.
“There are definitely still buyers out there, but a lot of people are waiting and sitting on their hands a bit,” Gu said.
He said some buyers were attending auctions but were also looking for opportunities to negotiate if a property passed in.
Local results show why buyers may need to look beyond city-wide figures. Sydney’s North Sydney and Hornsby region recorded a 70% preliminary clearance rate from 60 collected results, compared with 56.6% across Sydney.
A higher local clearance rate does not necessarily mean every property will face strong competition. The property’s condition, location, price expectations and number of financially prepared buyers may all influence the result.
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Gu said the properties selling were generally those where seller expectations were aligned with current buyer demand.
A passed-in property may create an opportunity to negotiate, but it does not mean the seller will necessarily accept a lower price.
How lending changes may affect auction budgets
While buyer sentiment can affect auction activity, finance may determine who is in a position to bid and how much they can offer.
Ben Slater of Aussie Unley said affordability and borrowing capacity remained important considerations for his South Australian customers.
“If they can borrow less, they can purchase for less,” Slater said.
Lenders assess borrowing capacity using factors including income, debts, credit limits, loan terms, interest rates and living expenses. A lender may also compare a borrower’s declared expenses with an expenditure benchmark as part of its assessment.
Slater said an update to a lender’s servicing calculator had reduced the estimated borrowing capacity for clients on one application by between $10,000 and $15,000.
That example relates to one application and should not be treated as a typical outcome. Borrowing power can differ significantly between borrowers and lenders.
For buyers, the example is a reminder that a borrowing estimate can change during a property search. Income, expenses, debts, interest rates, lender requirements and the property being purchased may all affect the final assessment.
If a property search is taking longer than expected, buyers can read more about reviewing their borrowing position and pre-approval.
An Aussie Broker can help review your borrowing position and explain what may be achievable based on your circumstances.
A Canberra sale shows why preparation still matters
A lower clearance rate does not mean every property will make it to auction.
A home at 2 Hirschfeld Crescent in Macgregor, Canberra, sold for $836,000 prior to auction following three open homes. The property was initially scheduled to go under the hammer on 22 August but sold on 7 August.
Selling agent Matt Sebbens of Blackshaw Belconnen said the buyers had previously missed other opportunities and could meet the contractual and settlement requirements.
“They had all their ducks in a row,” Sebbens said. “They had brought family through and done strong due diligence.”
The sale is one property example and does not represent the broader Canberra market. However, it shows why preparation may still matter even when the broader clearance rate is lower.
Sebbens also cautioned against assessing an auction campaign solely by whether the property sells under the hammer. Some properties may sell before auction, while others may be negotiated shortly after passing in.
For buyers, the practical lesson is to prepare for more than one possible outcome. That may include bidding at auction, making a pre-auction offer or negotiating after the property passes in.
Buyers considering an offer before auction should understand the contract conditions, confirm their finance position and consider obtaining independent legal advice before signing.
What does this week’s auction market mean for buyers?
This week’s results show that rising auction volumes do not necessarily translate into stronger clearance rates.
They also reinforce why national and city-wide figures should be considered alongside local conditions and the circumstances of an individual property.
Before bidding or negotiating, buyers may wish to confirm that their finance position remains current, research comparable sales and decide what they are financially comfortable paying. Buyers should also consider appropriate property checks and independent legal advice.
An Aussie Broker can help buyers understand their borrowing capacity, compare lender options and review their finance position before auction day.