The 2026 auction season has started with remarkable momentum, signaling robust buyer engagement and confidence across major Australian markets. Cotality data reports a national clearance rate of 73.7%, the highest observed since mid-October last year. During the first week of the year, over 1,590 properties went under the hammer, reflecting both strong market activity and heightened buyer competition.
Typically, January auctions begin at a measured pace, often gaining traction after Australia Day. However, this year’s early rebound has been notably swift. Adelaide continues to stand out, achieving the nation’s highest clearance rate of 83.6% from just 117 auctions. Sydney followed with 79.6%, Brisbane achieved 69%, and Melbourne recorded 67.9%. These results suggest that strong buyer demand is present in multiple capitals, despite broader economic uncertainty and fluctuating mortgage conditions.
Several factors have contributed to the strong start. Clearance rates above 70% generally indicate solid demand relative to supply, reflecting not only competitive pricing but also a level of confidence among buyers. Analysts note that auctions often set the tone for the early part of the year, influencing private treaty transactions and providing an early snapshot of market sentiment. A healthy clearance rate suggests that buyers remain active, while vendors are confident in placing properties on the market, creating a positive feedback loop for ongoing sales activity.
Cotality analyst Caitlin Fono points out that the season’s momentum is particularly striking given the relatively weak clearance rates observed in mid-December, which dipped into the low 60% range. The rapid rebound indicates resilience in buyer sentiment, with competitive auctions occurring across both metropolitan and regional markets. Adelaide’s high performance, despite fewer auctions, reflects concentrated demand and limited stock availability, while Sydney, Brisbane, and Melbourne show steady engagement despite larger auction volumes.
Looking ahead, auction activity is expected to increase further. Approximately 2,050 auctions are scheduled across the combined capital cities this week, with around 2,800 expected the following week. Analysts suggest that as volumes rise, competitive conditions will likely remain strong, particularly for properties located in desirable suburbs or offering unique features. Early results indicate that buyer demand is deep, not just a short-term spike, highlighting the importance of strategic timing for sellers and careful monitoring for buyers.
The early 2026 auction results also reveal broader insights into market dynamics. High clearance rates, combined with rising auction volumes, suggest that price growth may continue, particularly in well-located areas with limited stock. For buyers, auctions represent both an opportunity and a challenge: competitive conditions can lead to higher purchase prices, but they also provide transparency on market value, helping buyers make informed decisions.
Auction performance is not uniform across all capitals, and micro-market dynamics remain critical. Adelaide’s remarkable clearance rate demonstrates the influence of limited supply in high-demand areas, while Melbourne’s slightly lower 67.9% indicates more available stock or variable buyer behaviour across different suburbs. Regional factors, property type, and auction marketing strategies all contribute to the observed outcomes, underlining the importance of local market knowledge for buyers and investors alike.
Beyond the numbers, auction activity provides a measure of market confidence. Sellers willing to place properties under the hammer, and buyers actively bidding, suggest that despite economic uncertainties, the property sector remains resilient. This early momentum can influence broader trends in the coming months, supporting private treaty sales and providing signals for capital growth projections.
In conclusion, the early 2026 auction season demonstrates robust market activity, with strong clearance rates, rising volumes, and competitive buyer conditions across multiple capitals. For investors, buyers, and sellers, the early data confirms that the property market is active, resilient, and responsive to underlying demand trends. Analysts predict that as auction volumes increase over February and March, momentum is likely to continue, creating opportunities for well-informed participants in the housing market.
