SQM notes that the small fall in listings is not the market norm, with with the nation’s stock levels usually dropping more substantially during April. “The lack of a major drop in listings during April is due to the minor rises in Darwin, Melbourne and Perth, all which have recorded figures which buck the seasonal trend”.
Coincidentally, SQM’s Asking Prices Index “revealed that House and Unit prices both more or less stagnated on a capital city average level month-on-month – recording a mere 0.1% increase for houses and 0.5% increase for units” (see below table).
SQM believes that these result indicate a possible market lull. According to SQM Research’s managing director, Louis Christopher:
“Listings did fall during the month, however this was expected due to the multiple long weekends. The fact they did not fall much, and indeed rose in some cities, provides an indication that the market might be in a brief lull, overall. However as we have already said prior to today, each city is telling its own story. I for one am not convinced yet that the boom is over in Sydney. On the other hand, there appears to be ample evidence now that the mining downturn is affecting the Perth and Darwin housing markets.”
