The national preliminary clearance rate on Saturday was 48.2 per cent, compared with 67.4 per cent at the same time in 2025, according to housing data firm Cotality.
It was the second-lowest clearance rate of the year, better only than a weekend in June.
In Brisbane, only 25.6 per cent of auctions resulted in a sale.
Adelaide and Canberra fared better at 41.5 and 41.7 per cent, respectively.
Melbourne and Sydney both recorded preliminary clearance rates of more than 50 per cent, although that level still points to continued falls in prices.
The overall number of auctions was low due to long weekends in multiple states and territories, and the NRL grand final taking place in Sydney.
Cotality research director Tim Lawless said broader market factors had also slowed activity, noting spring auction levels were down 31 per cent on 2025.
The Reserve Bank raised interest rates to a 15-year high of 4.6 per cent at its September meeting while inflation came in at 4.0 per cent in August, up from 3.5 per cent in July.
"Last week's rate hike has probably played a role in the weaker auction outcome, with prospective buyers facing reduced borrowing capacity and ongoing confidence woes," Mr Lawless said.
Changes to the capital gains tax discount and negative gearing allowances announced in the May federal budget were designed to take some heat out of the market and champion first-home buyers over investors.
The measures marked one of the largest shake-ups to housing policy in more than two decades and has also been credited with driving down demand.
Ray White performance chief executive Thomas McGlynn said there were many buyers in the market and strong listing numbers, but the parties were unable to agree on fair value.
"There are people on both sides who want to transact; they're just not always meeting on price," he said.
"Buyers are engaged and prepared to compete, but many are also prepared to hold their position when they don't see the value."
He expected younger buyers would hold out until prices better met their expectations.
House prices have plummeted in recent months, down 1.1 per cent nationally in the month to October, and 5.2 per cent from their pre-budget March peak, Cotality data shows.
The downturn was deeper than at the same stage of the 2022/23 price drop and was expected to last for longer, Mr Lawless previously told AAP.
Mr McGlynn said it would take time for buyers to be persuaded they were paying the right price given the backdrop of higher interest rates and falling values.
"We often talk about the importance of generating competition between buyers, but in the current market there is also competition between properties for the attention of those buyers," he said.
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