Finder makes money from featured partners, but editorial opinions are our own.

Auctions surge following RBA cut


house auctionFirst home buyer activity has received a boost from the Reserve Bank’s rate cut.

Auctions saw a surge of action on the weekend, with CoreLogic figures showing the year’s highest auction clearance rate of 74.9%, the Australian Financial Review has reported. Sydney saw a clearance rate of more than 80%. Melbourne also saw a strong clearance rate, at 76.1%.

Auctioneer Damien Cooley told the AFR the Reserve Bank’s official cash rate cut last week has spurred investor and first home buyer activity, in spite of banks failing to pass on the rate cut in full.

"Given interest rates are so low, investors are stepping in and buying real estate even though they are not getting the incredible return on yield, they are happy with the growth play,” Cooley told the AFR.

Cooley said first home buyer activity was up considerably, but that first-time buyers were “still getting beaten to the punch” by investors.

First home buyers who did find success often had help from their parents, Belle Property agent Maria Magrin told the AFR.

"This is the newest buyer demographic in our area – 20- and 30-somethings buying with mum and dad. We rarely see first home buyers purchasing on their own these days," she said.

Latest home loans headlines

Find the right home loan now

Ask an Expert

You are about to post a question on

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder only provides general advice and factual information, so consider your own circumstances, or seek advice before you decide to act on our content. By submitting a question, you're accepting our Terms of Use, Disclaimer & Privacy Policy and 6. Finder Group Privacy & Cookies Policy.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Go to site