Auction Floors Collapse as Tax Hikes and Rate Rises Squeeze Property Market

Sydney's auction clearance rate plummeted to 48.9 per cent in July — down from 66.3 per cent in February — meaning less than half of properties listed sold under the hammer. In Melbourne, the rate has fallen to 54.4 per cent, its lowest since September 2020, well below the 60 per cent threshold considered a balanced market. The causes are a triple whammy: three interest rate hikes, federal budget changes to negative gearing and capital gains tax, and vendor price...