Australia Weekly Property Market Report – Week Ending 18 October 2026

Melbourne’s Spring Auction Market Faces a New Test as Reserve Disclosure Rules Take Effect

Welcome to this week’s Australia Weekly Property Market Report from Ham Kerr Property. The Melbourne property market entered a new phase over the weekend ending Sunday, 18 October 2026, since Victoria’s new auction reserve-price disclosure rules began to apply to residential auctions and fixed-date sales. Agents and sellers now have another thing to manage, with Melbourne reserve price disclosure 

Executive Summary

This week’s Australia Weekly Property Market Report includes these key figures:

• Out of the 553 auctions scheduled, Domain’s preliminary Melbourne auction clearance rate was 52%. It can be compared with 69% over the same period last year.
• Out of 389 reported results, 203 properties sold. 127 passed in, and 59 were withdrawn. The median auction price was $930,000, and the disclosed sales total was approximately $178.
• The Real Estate Institute of Victoria (REIV) reported a higher 68% clearance rate from 270 reported auctions (183 sales and 87 pass-ins). But 222 results were still outstanding, so the sample was relatively small.
• Cotality (formerly CoreLogic) has predicted some 469 auctions in Melbourne and 1,501 across the combined capitals, with Melbourne’s calendar around a third lower than the week before.
• Cotality’s final combined-capital clearance rate for the week ending 11 October was 44.1%.
• The RBA cash rate remains at 4.60% following the September rise. The ABS reported national unemployment of 4.7%, with employment falling by 39,300 people in September.

Buyers are still out there, but they are more careful. Urgency is less important than affordability, confidence and fair market value. Sellers will need to price realistically, present well and know what buyers want as October continues.

Weekly Market Snapshot

This Australia Weekly Property Market Report uses Domain’s latest preliminary data for the week ending Saturday, 17 October, updated on Sunday, 18 October 2026.

Capital City Auction Results

Source: Domain auction results for the week ending Saturday, 17 October, updated Sunday, 18 October 2026.

Cotality’s final clearance rates for the week ending 11 October were Melbourne 49.8%, Sydney 45.6%, Brisbane 21.8%, Adelaide 44.9% and Canberra 38.5%.

Additional Market Indicators

Sources: REIV, Cotality, RBA, ABS.

Market Summary

The Melbourne property market is still below last year’s clearance rate, and fewer properties are going to auction. Now sellers have to factor in the reserve price rules when deciding whether to auction or sell privately. Borrowing power remains constrained by higher interest rates, but there are still sales, including some premium and more affordable properties. The key question is whether auction numbers pick up and buyers respond to more price transparency.

Melbourne: Spring Auction Activity Slows Again

Melbourne Auction Activity

Latest Melbourne auction results are these. The cautious spring domain recorded 553 scheduled auctions, down from 710 in the previous reporting period, a fall of about 22 per cent. The preliminary clearance rate was 52 percent. It is down from 58 percent last week.

REIV reported 270 completed results, down from 471 last week and 892 over the same period last year. Its 68% clearance rate is better than Domain’s because it has fewer results.

Cotality’s final numbers indicate a weaker market. Melbourne auction clearance rate was 49.8% for the week ending 11 October, down from 68.6% in the same week of 2025, with auction numbers down around 44%. Buyer demand was the main limiting factor in the market, not the supply of properties, Cotality said. But if the clearance rate remains low even as the number of homes on offer falls, it is evidence that there are fewer buyers who can and want to buy.

Median Auction Price and Price Trends

Domain has a median Melbourne auction price of $930,000. REIV’s Victorian data showed a median house auction price of $1.2 million and a median unit price of $752,000. The numbers aren’t directly comparable because providers cover different types of properties and different areas. Also, weekly medians depend on what properties sell and where they are.

Melbourne house prices are better illustrated by monthly price measures. The realestate.com.au Home Price Report, supported by PropTrack data, showed national home prices fell 0.2% in September, the sixth monthly fall in a row, leaving prices about 3.3% below their March peak. Melbourne home prices fell 0.2% in September and were about 5.2% lower than a year earlier. The Inner East recorded an annual dwelling-price fall of about 10.6%, the largest among the regions highlighted. Recent comparable sales are more useful than past market peaks.

Inner East: Premium Homes Still Attract Buyers

The wider market is weaker. But there were some high-value sales in the Melbourne auction results from established suburbs. REIV reported:

• 9 The Grove, Camberwell: $3.41 million, the highest reported Victorian house auction sale of the week
• 8 Acheron Avenue, Camberwell: $3.18 million
• 14 Tyne Street, Camberwell: $2.855 million
• 41 Thompson Street, Ormond: $2.88 million
• 8 Elder Parade, Essendon: $2.65 million

These sales suggest that luxury properties are still commanding high prices but don’t mean the broader market is back in growth. Location, size of land, design, scarcity and competition between a few well-funded buyers all play a role.

Balwyn, Kew, Canterbury and Surrounding Suburbs

There are still established eastern suburbs that appeal to families, professionals and downsizers. But buyers are more discerning.

• A four-bedroom property at 5 Austin Street, Balwyn, sold with the price withheld (Domain).
• In Balwyn North, a three-bedroom property at 41 Winfield Road sold for $1.69 million, and a three-bedroom townhouse at 4/9 Leicester Street achieved $910,000.
• A three-bedroom property at 12 Church Street, Canterbury, sold for $2.085 million on 17 October.
• Other campaigns in the area were withdrawn or rescheduled.

Each property must be judged on its own merits. Buyers are still looking for land, living space, condition and transport for family homes in established school areas. They are considering the cost of renovating and owning, so homes that require a lot of work may have to be negotiated more.

Passed-In Properties: A Major Feature of the Current Market

Domain logged 127 passed-in properties. 59 withdrawals from 389 results reported. Some 30% of the auctions reported were passed in. A further 15% were withdrawn. This shows a clear mismatch between the prices sellers want and what buyers are willing or able to pay.

A five-bedroom property at 31 Gilmour Road, Bentleigh, passed in with a maximum bid of $2.6 million, and a four-bedroom property at 26 Robinson Grove, Bulleen, passed in at $1.57 million. Other Melbourne passed-in auctions were reported at Box Hill, Box Hill North, Brighton East, Blackburn and nearby suburbs, so buyer caution is not limited to one part of Melbourne.

Sellers should establish a realistic reserve based on current market evidence. A passed-in property can give the buyer an opening to negotiate directly with the seller, but it’s not necessarily underpriced. Buyers should still do their own checks and see recent comparable sales.

Victoria’s New Reserve-Price Disclosure Requirements

The weekend ending 18 October was the first full weekend when Victoria’s new rules applied to residential auctions and fixed-date sales. Under the changes introduced by Consumer Affairs Victoria:

• Agents must get the seller’s reserve price in writing.
• The reserve must be published at least seven days before the auction or fixed-date sale.
• It must be shown as one dollar amount.
• The property’s advertising and Property Price Statement must be updated to match.

The rules took effect on 1 October and will apply to qualifying auctions and fixed-date sales from 16 October 2026. Reserve price Disclosure Victoria is committed to improving transparency and reducing misleading pricing practices.

Industry representatives have raised concerns about how the rules will work in practice, particularly where sellers are unwilling to set a reserve well before auction day. Recent Herald Sun reporting has revealed REIV has raised concerns about timing in a difficult spring market, with some campaigns pushed back or changed into other selling methods. Melbourne’s lighter auction schedule coincided with the first week under the new rules, Cotality said. Agents and sellers now have to plan ahead, getting their sale authorities, seller instructions, Property Price Statements and advertising all ready and checked.

It’s too early to know whether the Melbourne reserve price disclosure will lead to a lasting fall in auction activity, but the sharp drop in the Melbourne auction schedule is worth watching. How agents and sellers respond will also influence the broader Victoria property market.

Source: Consumer Affairs Victoria, Property Sales Reforms.

Sydney: Clearance Rates Improve, but Withdrawals Remain High

The latest Sydney auction results has 846 scheduled auctions and a 52% preliminary clearance rate. Of 508 reported results, 263 sold, 91 passed in and 154 were withdrawn. The median auction price was $1.43 million, and disclosed sales totalled about $290.5 million. The clearance rate improved on the previous week. But it remained well below the 70% recorded in the same period last year.

The high number of withdrawals suggests some sellers are reconsidering auction when buyer feedback shows they may not get the price they expect. Sydney is more affected by borrowing limits because prices are higher on average.

A five-bedroom property at 160D Macpherson Street, Bronte, reportedly sold for $12.12 million, about $870,000 above its reserve (Zotpaper). A fire-damaged home at 19 Robertson Street, Merrylands, attracted six bidders and sold for $1.061 million, with the buyer interested in the land and redevelopment potential (Daily Telegraph).

Brisbane: Australia’s Weakest Major Auction Market

The Brisbane property market had a difficult week. Domain shows 161 scheduled auctions and a preliminary clearance rate of just 17%. Out of 108 reported results, only 18 sold, while 73 passed in. 17 were withdrawn. The median auction price was $1.031 M.

Two-thirds of reported auctions did not meet sellers’ expectations. This continues the weak trend in Cotality’s final figures for the previous week, when Brisbane’s clearance rate was 21.8%, close to an 18-year low. Brisbane is mostly a private-treaty market. So auction figures don’t include all sales. But they do show campaigns are having trouble attracting enough competitive bids.

Adelaide: Auction Conditions Weaken Further

The Adelaide property market saw 136 scheduled auctions and a preliminary clearance rate of 30%. Of 80 results reported, 24 sold, 47 passed in and nine were withdrawn. The median auction price was $887,000 and the clearance rate was well below the 74 per cent recorded for the same period last year.

Adelaide’s affordability advantage has been reduced as it enjoyed strong growth in previous years, aided by restricted housing supply and population growth. Now with mortgage rates being higher, the pressure is growing. September PropTrack data showed Adelaide had the weakest monthly price growth among the capitals, with a 0.6% fall.

Canberra: A Stronger Weekend, but a Small Sample

Canberra was one of the stronger markets in Domain’s preliminary results, with 67 scheduled auctions and a 63% clearance rate. Of 52 reported results, 33 sold, nine passed in, and ten were withdrawn. The median price at auction was $830,000. Canberra’s auction market is small. So, the weekly figures may fluctuate. That helps because there is a stable base of public-sector and professional employment. But the prices and the mortgage repayments are a concern.

Perth, Hobart and Darwin

These cities depend mainly on private-treaty sales. So weekly auction clearance rates don’t provide the full picture. More useful indicators are total sales, new listings, time on market, vendor discounting and monthly price changes. PropTrack data showed Perth home prices fell 0.3% in September, while Darwin was the only capital to record monthly growth, with a rise of 0.1%. The Australian housing market is not moving the same way everywhere. So each capital should be considered separately.

Regional Victoria

This Australia Weekly Property Market Report includes regional results. In the Victoria property market, Geelong, Ballarat and Bendigo are dominated by private treaty sales so individual sales and price trends tell more than weekly clearance rates.

Geelong: Established Family Homes Continue to Transact

• 62 Dryden Way, Highton (five-bedroom): $1.25 million on 17 October
• 82 Eastlakes Boulevard, Lara (four-bedroom): $790,000 on 16 October
• 2/6 Tuckfield Street, Ocean Grove (two-bedroom townhouse): $646,500 on 16 October
• 23 Pride Street, Torquay: reportedly $2.4 million, about $200,000 above reserve (Herald Sun), attracting strong interest because of its large landholding and location close to the beach

Compared with Melbourne, Geelong is relatively affordable and benefits from healthcare and education jobs, transport links and its proximity to the Surf Coast. Buyers are more concerned about condition, as homes that require substantial renovation become harder to negotiate once construction and borrowing costs are taken into account. The wider market is subdued, but competition for the limited coastal property is fierce.

Ballarat: Lifestyle Properties and Affordable Family Homes

• 584 Finchs Road, Bunkers Hill (four-bedroom): $1.18 million on 16 October
• 1–4/391 Forest Street, Wendouree: $1.05 million on 16 October
• 7 Grassy Street, Winter Valley (four-bedroom): $650,000

Lifestyle properties on large blocks of land can appeal to a different type of buyer than the typical family home. Healthcare, education, government jobs and transport links to Melbourne underpin Ballarat’s economy but interest rates are affecting regional buyers. Sellers need to pay attention to presentation and realistic pricing.

Bendigo: Premium Regional Property Still Finds Buyers

• 10 Yeramba Close, Strathdale (five-bedroom): $1.75 million on 15 October
• 12 Cheriton Drive, Strathdale (four-bedroom): $710,000 on 15 October
• 2/33A Booth Street, Golden Square (three-bedroom): $615,000 on 16 October

Bendigo has a range of employers, including healthcare, education, government and professional services, but being more affordable does not make it immune to interest-rate changes. Buyers and investors should focus on the individual property rather than expectations of regional growth.

Regional reporting note: These Geelong, Ballarat and Bendigo examples are verified individual transactions from the reporting period. They are not full regional sales totals or independently calculated regional medians.

National Economic Outlook

This Australia Weekly Property Market Report looks at national prices, interest rates and to help explain the capital-city auction results.

Australian Home Prices Continue to Decline

The wide Australian housing market explains current auction conditions. The latest realestate.com.au Home Price Report showed Australian house prices fell 0.2% nationally in September, the sixth monthly decline in a row, leaving prices about 3.3% below their March peak. Melbourne and Sydney remained among the weakest capitals. Price falls became more noticeable in Adelaide, Brisbane and Perth. National house prices fell 0.3% in September. But unit prices were broadly unchanged. This means affordability is shifting the kinds of property buyers are prepared to consider.

Interest Rates Remain the Principal Housing Market Headwind

The RBA increased the official cash rate to 4.60% on 29 September 2026, in a unanimous decision. The Board attributed the situation to persistent inflation, high global energy prices and domestic costs. It said house prices had fallen in most major cities and new housing loans had fallen sharply.

While the RBA interest rates Australia don’t have an immediate impact on the property market, they do limit borrowing power and increase mortgage repayments. Borrowers can see how their repayments change over time, and potential buyers can adjust their budgets before they buy. The full impact of the September rate increase could continue to affect auction results in October and November.

Employment Weakens: A New Complication for the RBA

Australia’s seasonally adjusted unemployment rate reached 4.7% in September. Employment fell by 39,300 people, the underemployment rate rose to 6.3% and the participation rate fell to 66.8%. That could take some of the pressure off to lift rates again straight away, but the RBA will have to weigh the risk of more price rises against the fact the job situation isn’t as tight as it could be.

Global Factors: Energy Prices and Financial Conditions

The RBA has flagged that the rise in energy prices as a consequence of the Middle East conflict is a major risk for inflation. Another pressure on costs has been rising global demand for tech-related goods, in part due to investment in artificial intelligence. If inflation remains elevated, interest rates will have to remain higher for longer, but weaker global growth could ease inflationary pressure. The outlook is uncertain, so buyers may want to consider a financial cushion.

Buyer and Vendor Sentiment

If a property is good value, buyers will still buy. The number of properties passed in shows that buyers will not keep bidding if the price goes beyond their budget. This is not a fear-of-missing-out market. Buyers get more chances to compare properties and negotiate after the auction.

A choice auction is not a guaranteed sale, so vendors are turning more to realistic pricing and good presentation. Agents should also look for real buyer interest like second inspections, requests for contracts, finance approval, and bidder registrations, which are a better indication of buying intent than inspection numbers alone. The new reserve-price rules make it all the more important for the seller and agent to communicate early on.

Forecast: What to Expect Over the Next Four Weeks

The rest of October will be an important test of Melbourne’s market. Our property market forecast October 2026 is based on Cotality’s auction About 1,900 capital city auctions are forecast for the week ending 25 October, up from 1,501 for the week ending 18 October. Activity is expected to drop to around 1,500 properties in early November. The next RBA monetary policy decision is due on 3 November 2026 and the Board’s views on inflation, employment and household spending will be important.

Auction numbers can go up, but clearance rates stay low. Because of that, sellers might feel more pressure to readjust their expectations. If both improve, that would be stronger evidence that buyer demand is levelling off.

Ham Kerr Property does not anticipate a broad based market in the short term and expects it to remain selective. Good marketing on well-priced, well-presented properties should put them in a better position to attract competition, while sellers relying on pricing from stronger markets could experience longer campaigns and more negotiation. The next Australia Weekly Property Market Report will be helpful in indicating whether clearance rates and auction numbers are going in the same direction.

Actionable Insights

For Vendors

Start with a comparative market analysis based on recent sales, back it with good presentation and targeted marketing, and review buyer feedback throughout the campaign. Set the reserve price based on genuine interest. For Victorian auctions, it is essential to meet the new Property Price Statement and reserve price disclosure Victoria requirements. With Melbourne house prices about 5.2% lower than a year earlier.

For Buyers

See how much you can borrow after the latest rate. Track if the RBA interest rates Australia ahead of the November 3 decision. Before you buy, set a realistic budget and get appropriate finance. Melbourne’s passed-in auctions could present negotiation opportunities. But buyers should still rely on comparable sales and property specific evidence.

For Investors and Landlords

In a higher interest rate environment, steady rental income and net cash flow are more important. Consider the cost of finance, insurance, land tax, owners corporation charges, maintenance and tenancy laws.

Key Takeaways

• The Melbourne auction market is subdued with a clearance rate of 52% compared to 69% last year. Affordability and buyer confidence are driving the Melbourne property market.
• Melbourne recorded 127 pass-ins and 59 withdrawals among 389 reported results.
• REIV recorded 270 reported auctions, compared with 892 in the same period last year.
• Victoria’s new reserve-disclosure rules now apply. It is creating extra responsibilities for agents and sellers and possibly influencing the choice of sale method.
• Sydney recorded a 52% clearance rate with 154 withdrawals.
• Brisbane (17%) and Adelaide (30%) remain particularly weak. The Adelaide property market had the weakest monthly price growth among the capitals in September.
• Canberra’s 63% clearance rate was based on a small sample.
• Regional Victoria remains active, with sales of $1.25 million in Highton, $1.18 million in Bunkers Hill and $1.75 million in Strathdale.
• The RBA cash rate is 4.60%, and unemployment has risen to 4.7%. It keeps the Australian housing market cautious.
• The RBA decision of 3 November and higher auction numbers will show if buyer demand is stabilizing.
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Frequently Asked Questions

This section of the Australia Weekly Property Market Report answers common questions about this week’s results.

1. What was Melbourne’s auction clearance rate for the week ending 18 October 2026?

Domain’s preliminary Melbourne auction clearance rate was 52%, compared with 69% in the same week last year. REIV reported a higher 68%, but it was based on only 270 reported auctions, with 222 results still outstanding.

2. How many properties went to auction in Melbourne this week?

Domain recorded 553 scheduled auctions in Melbourne, down from 710 in the previous reporting period. The REIV recorded 270 auctions, down from 471 the week before and 892 the same week last year. Cotality had forecast around 469 Melbourne auctions.

3. What were the latest Melbourne auction results and median auction price?

Out of 389 reported results, 203 properties sold, 127 passed in and 59 were withdrawn, with disclosed sales of about $178.1 million. The latest Melbourne auction results showed a median auction price of $930,000 according to Domain. REIV’s Victorian data recorded a median house auction price of $1.2 million and a median unit price of $752,000.

4. Why are so many Melbourne properties passing in at auction?

One-third of reported auctions were withdrawn and a further 15% passed in, indicating a disconnect between what vendors want to sell for and what buyers are willing to pay. High mortgage rates and pressure on sellers’ price expectations affect the results. Cotality sees buyer demand as the main constraint. It explains why Melbourne passed-in auctions remain common even with fewer properties on offer.

5. What are Victoria’s new reserve-price disclosure requirements?

Agents will have to obtain the seller’s reserve price in writing and publish it at least seven days before an auction or fixed-date sale under changes by Consumer Affairs Victoria. And the advertising and Property Price Statement must be updated to show as one dollar amount. The rules will come into force from 1 October and will apply to sales from 16 October 2026. Melbourne reserve price disclosure improves transparency and reduces wrong pricing practices.

6. How did Sydney’s property market perform this week?

Domain recorded 846 scheduled auctions and a 52% preliminary clearance rate, with a median auction price of $1.43 million. Auction results in Sydney last week showed an improvement on the previous week. But it is still below the 70 per cent recorded a year ago. The 154 withdrawals suggest some sellers are reconsidering, although scarce properties, such as the Bronte home that sold for $12.12 million.

7. Why did Brisbane record such a low auction clearance rate?

Domain’s initial clearance rate was 17%, with only 18 of 108 reported results selling and 73 passing in. The Brisbane property market uses private-treaty sales. So auction results do not show the whole market. But they show many campaigns struggling to attract competing bids. Cotality’s rate for the previous week was 21.8%, close to an 18-year low.

8. What is happening to Australian house prices in October 2026?

Australian house prices fell 0.2% nationally in September, the sixth consecutive monthly decline, leaving them about 3.3% below the March peak. National house prices fell 0.3%, while unit prices were unchanged. Melbourne home prices fell 0.2% and were about 5.2% lower than a year earlier, with the Inner East down about 10.6%.

9. What is the current RBA cash rate? How does it affect the Australian property market?

The RBA cash rate is 4.60%, following the increase on 29 September. The RBA interest rates Australia reduce the ability to borrow money and increase mortgage repayments. This can weaken buyer demand, and the full effect may continue to influence auction results through October and November. The next RBA decision is on 3 November 2026.

10. What is the outlook for Melbourne’s property market over the next four weeks?

Cotality expects around 1,900 capital-city auctions in the week ending Oct. 25. It dropped to around 1,500 in the first week of November. property market forecast October 2026 indicates selectivity instead of broad-based recovery. The Melbourne property market is likely to favour well-presented and accurately priced homes, and the RBA’s decision on 3 November will be important.

Conclusion

This Australia Weekly Property Market Report reflects a market where buyers are cautious and price-driven. Victoria’s new reserve-price rules are in place, interest rates remain high and the RBA’s next decision is due on 3 November.