Chris Vedelago June 02, 2012
Melbourne's auction market is still not responding to last month's steep interest rate cut, posting another lacklustre performance today.
The Real Estate Institute of Victoria said the clearance rate was 60 per cent for the 551 auction results reported by 5pm. The outcome of another 78 scheduled sales are still unknown.
"The market continues to be subdued with activity at low levels as many investors wait to see an improvement in consumer confidence and economic activity. This translates to lower levels of competition between buyers and more moderate price outcomes," REIV spokesman Robert Larocca said.
Last weekend's clearance rate has been downgraded to 57 per cent, from 59 per cent, after dozens of unreported results were tracked down by the group.
The performance comes as new figures from RP Data-Rismark show that Melbourne house values plunged 2.8 per cent in May. It was the worst one-month fall recorded since the global financial crisis.