Victoria's real estate market has slumped to its lowest point in more than four years.
At 807 auctions on Saturday, one in every two homes failed to sell under the hammer, Melbourne's Sunday Herald-Sun newspaper reported, with the clearance rate at 51 per cent.
The last time auction clearance rate was lower was in July 2004, with one weekend recording 47.6 per cent of successful sales.
In comparison, on December 1 last year, the clearance rate was 78 per cent, with 952 properties generating sales worth $502.18 million.
Patchy results in all price ranges have seen the rate "flatline" at 54 per cent this month, following a week-long dip to 53 per cent on November 1.
Despite predictions that an expected further interest rate cut this week would boost sales, some real estate experts acknowledged would-be buyers were continuing to sit and wait because they believed they had the upper hand.
Tim Fletcher, whose real estate group posted a 50 per cent clearance rate on Saturday, stood by comments he made earlier this month, suggesting auctions were a "lazy option" in today's sluggish market".
"I would think at least 300 of those 900-odd properties should not be at auction," he said on Saturday.
Hocking Stuart, which took 110 properties to auction on Saturday, sold 53 under the hammer, director Scott McElroy said.
"A lot has been said about auctions (in recent weeks), but we are confident many are going to sell next week," Mr McElroy said.
The Barry Plant Group failed to sell any of five properties on auction on Saturday.
"People are so scared to bid and they (the buyers) are like vultures, hanging around out the front trying to carve $200,000 or $300,000 off the asking price," group director Barry Plant said.
Adding to homeowners' pain will be Real Estate Institute of Victoria figures showing Victorians have spent almost $14 million on failed auctions in less than four months.
