LJ Hooker's national auction manager, Graeme Hyde, has forecast "sustainable" growth for the next few years in Australia's capital city markets. "I don't think we're seeing a boom and I certainly don't see another dip," he told Your Mortgage.

Hyde attributed last weekend's unprecedented auction activity to vendors capitalising on "a perfect storm" of circumstances. Low interest rates, rising buyer and seller sentiment and the unwinding of the $14,000 grant happened to converge. However, he denied that a last-minute push by first homebuyers had created a new price bubble.

"There will be good, healthy, steady growth in real estate transactions," he said, adding that individual investors and, increasingly, superannuation funds, were jumping at well-priced properties across the country, already filling the hole caused by exiting first homebuyers.

Pressure from increasing populations, especially in Queensland and WA, along with a significant shortage of rental property, would be the main driver of capital growth next year, Hyde claimed.