- Conditions are ideal for sellers as buyer demand continues to outstrip supply
- Melbourne market bounced back as in-person inspections resumed mid-month in September
- Regional stock shortage is being felt mostly in regional New South Wales
Conditions are ideal for sellers as buyer demand continues to outstrip supply, despite national new listings increasing 22.5% month-on-month in September, according to REA’s (REA Group) October 2021 PropTrack Listings Report.
Since the easing of lockdown restrictions, the report found seller confidence returned quickly.
PropTrack economist and report author Angus Moore said, “seller confidence was strong across the country as roadmaps out of lockdown were announced and eased restrictions came into place.
“With the impact of eased restrictions in Melbourne and Canberra only partly felt as they came into effect mid-month, we are likely to see continued benefits from these changes in October.”
According to the report, the Melbourne market bounced back as in-person inspections resumed mid-month in September and listings surged 74.8% compared to August.
Mr Moore said, “on the back of a modest easing of restrictions, the Melbourne property market well and truly emerged from hibernation with new listings surging to be almost three time the level recorded in September last year.”
New listings in Canberra, which also saw easing of restrictions, jumped by 42.1% month-on-month, while Sydney saw an increase of 31.6%.
Mr Moore said, “while new listings have bounced back, high levels of buyer demand and months of lockdowns in Sydney and Melbourne have kept total listings at a low level nationally.”
According to the report, new listings were strong across Australia as the spring selling season got underway, also rising month-on-month in Brisbane (8.4%), Adelaide (5.4%), Perth (3.2%), Hobart (7.3%), and Darwin (17.4%).
Mr Moore said, “recent changes from APRA may temper demand a little; however, these changes will only affect a limited number of buyers and so the impact on demand will likely be small.
“Challenged supply means competition will remain tight for buyers in the short term, but in positive news for sellers, we expect strong selling conditions to remain for at least the next few months.”
Mr Moore said, “available stock has been particularly low in regional areas, where total listings are nearly one third lower than their level a year ago.
“The property shortage is being felt most in regional New South Wales where total listings are nearly 40% lower than a year ago.”
The report found regional stock shortage is being felt mostly in regional New South Wales, where total listings are nearly 40% lower than a year ago, and regional Northern Territory where they are 13.2% lower year-on-year.