Following on from yesterday’s post on Melbourne’s record glut of unsold homes, please find below SQM Research’s press release assessing the stock on market as at June 2012.
Figures released this week by property research house SQM Research reveal that the level of residential stock increased during the month of June 2012, rising by 1.7% on a national level and coming to a total of 386,857.
Year-on-year, the nation experienced a 6.4% rise in stock levels, with the most extensive yearly increases occurring in Hobart and Melbourne, rising 29.4% and 27.7% respectively since June 2011.
Darwin, Brisbane and Perth have all recorded yearly falls, with Darwin posting a particularly significant decrease of -26.7% since June 2011.
However overall, stock levels across the country have continued to rise, with the level of residential listings increasing by 6,642 during the month of June 2012. On the back of previous monthly increases, June’s results reveal that we may not have reached the peak in stock levels for this cycle as yet.
Louis Christopher, Managing Director of SQM Research says “The Melbourne result is a real concern as the supply of listings has reached a new high in that city. I fail to see how other data providers can record rising dwelling prices in Melbourne when there is this much stock on the market.”
Key Points
Total online residential listings recorded a 1.7% monthly increase during June 2012, coming to a total of 386,857.
This figure represents a 6.4% increase when compared to the corresponding period of the previous year (June 2011).
Melbourne was the capital city to record the highest monthly increase in sales stock, rising by 6.1% during the month of June 2012 and coming to a total of 55,293.
No capital cities recorded monthly declines in stock levels; however Sydney remained unchanged month-on-month.
Hobart recorded the largest yearly increase, rising by 29.4% since June 2011 and coming to a total of 4,455.
Darwin recorded the most substantial yearly decrease in stock levels, falling by -26.7% since June 2011 and coming to a total of 1,326.
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness.
Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.
