SQM: Stock on market steady in September

By Leith van Onselen

SQM Research has released its stock on market figures for the month of September, which registered no change over the month nationally, but a -2.6% decrease in the number of homes for sale over the year:

Here’s the national chart, which shows stock levels remaining elevated:

However, it’s a two-tiered market, with stock levels highly elevated in Melbourne, Adelaide, Hobart and Canberra:

Whereas stock levels are tightening in Sydney, Brisbane, Perth and Darwin:

According to SQM’s Managing Director, Louis Christopher:

“This is a strong result for a number of the capital cities. To actually record falls in listings during the opening month of spring is unusual. Either vendors have been withdrawing their properties at a faster rate than new listings entering into the market, or stock is being sold at a quicker rate. Or a combination of both.”

Twitter: Leith van Onselen. Leith is the Chief Economist of Macro Investor, Australia’s independent investment newsletter covering trades, stocks, property and yield. Click for a free 21 day trial.



Leith van Onselen


  1. As I argued before stock on the market is not a major bubble burst driver. Even at these levels stock on market is higher that American at the peak (as percentage of total housing stock).
    Drop in sales is what crashes house prices. The only thing that is keeping house prices up in Australia is easy credit still available to almost everybody.

    When one of four pillars collapses, credit will freeze and bubble will burst in blink of an eye.


  2. Sales levels and prices (each by sectors of the market) is more useful.

    If low stock is a function of withdrawal after failed auctions or no sale in 3 months of listing or low estimates by agents leading to vendors waiting for improvement before listing then low stock is a negative indicator, not a positive indicator.