Property experts reveal the reason behind the slowdown in SA auctions – realestate.com.au

Fewer sellers have chosen to auction their homes over the past six weeks compared to the same period last year, despite an expected increase in the spring.

Real estate experts say several factors have caused a slowdown, but numbers are likely to pick up again in the coming weeks.

According to data from PropTrack, 121 auctions were scheduled in South Africa in the first week of spring, a 22 percent drop on the previous year.

Of these, 114 were in Adelaide, down 24 percent year-on-year, and seven were in regional South Africa, which rose 17 percent.

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The following week, 127 auctions would take place across the state, down 24 percent from the year before.

A similar pattern occurred in the coming weeks, with 132 scheduled this week, which is still 20 percent fewer than the previous year.

Of these, 123 are in Adelaide, down 22 percent from the same time last year, and 9 in regional South Africa, up 13 percent over the same period.

Ray White SA chief auctioneer John Morris said the AFL grand final and public holiday the following weekend were largely to blame.

“A lot of it has to do with the long weekend and the grand final,” he said.

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Ray White SA Chief Auctioneer John Morris.

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‘When it looked likely that the Crows would reach the grand final, people said, ‘Wait, wait!’

“A lot of people have unsubscribed.”

Mr Morris said Ray White, who had the largest auction market share in South Africa, still had very high clearance rates – almost 90 per cent last weekend – despite slightly fewer auctions.

Meanwhile, Harris Real Estate agent and auctioneer Tom Hector said a lack of new stock was also contributing to fewer auctions being scheduled.

“Supply is a big problem,” he says.

“It is very difficult to find advertisements because they sell like hot cakes.

“The number of properties currently being transferred in South Africa has been low for months.”

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Harris real estate agent and auctioneer Tom Hector.

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However, Mr Hector said they expected bookings to increase as the weather warmed and the long weekend was behind us.

“We launched 14 properties last week,” he said.

Both Mr Morris and Mr Hector said an auction is still the most transparent way to buy and sell property.