Canberra defies the market with rising clearance rates

Clearance rates softened across the country in April, but Canberra stood out as the only capital city to record an increase, new data shows.

According to Domain, auction rates in the capital climbed to 54.3 per cent last month, up 2.4 percentage points from March.

This uptick came amid declining results in other capitals, including sharp monthly falls in Brisbane and Sydney.

Regionally, Weston Creek was the standout, recording an impressive 75 per cent clearance rate, up 11.4 percentage points year on year.

Belconnen also outperformed the broader market at 62.5 per cent, reflecting a 1.6-percentage-point annual increase.

In contrast, there were annual declines in North Canberra and Tuggeranong, with clearance rates falling by more than seven percentage points.

Domain head of economics and research Dr Nicola Powell said the strong showing came despite a noticeable reduction in auction volumes.

“Canberra hosted 308 auctions in April, the lowest monthly total in three months. However, it was the busiest April since 2022,” she said.

New listings fell to a four-month low, marking the quietest April for new supply since 2023. Total listings also dipped to a three-month low, although annual supply growth has moderated.

Notably, April still recorded the second-highest total stock level for this time of year on record.

Days on market (DOM) data has revealed a diverging trend between houses and units. For houses, DOM increased for a fifth consecutive month, reaching its highest level since May 2024.

Unit DOM, on the other hand, decreased for the second straight month, although it remains higher than any April since 2021.

House discounting climbed to a five-month high, signalling a shift in vendor expectations. Yet for this time of year, discounting is at its lowest since 2021, pointing to underlying pricing confidence.

For units, vendor discounting declined for the fourth month in a row – now at its lowest level in more than a year.