Property supply is finally catching up with demand

Property buyer demand remains red hot across Australia.

The latest PropTrack Housing Market Indicators Report shows that average views per for sale listings were tracking at a record high in October – up 46% from the same time last year – with all markets booming:

Average views per listing

The preliminary weekly count of sold properties also reached their highest level this year at the end of October, and were materially higher this year than in either 2019 or 2020:

Weekly count of sold properties

At the same time, new for sale listings are running at their highest level in at least four years, according to ANZ:

Auction volumes have soared to historical highs, which has pushed clearance rates lower:

Australian auction volumes

Basically, the housing market is becoming more balanced with strong buyer demand being met with rising supply. This suggests that price growth should moderate.

Unconventional Economist

Comments

  1. Pankit ShahMEMBER

    This week final auction clearance rate will go down further maybe around 50%(last week was 56% as per the SQM Research). This week I witness many online auctions pass in. Initially, I thought maybe high prices area showing effect but it was all over the NSW. See some of the auction outcome below.

    (1) 5a Hannah St Beecroft – Passed in $ 3.6m – Vendor;s bid only no one bid at auction
    (2) 35 Cardinal Ave Beecroft – passed in $2.2m – only one bid of $1.8m
    (3) 394-396 Oxford St Peedington – passed in $ 4.5m – vendor’s bid
    (4) 27 Cambridge Street Rozelle – passed in $ 2.15m with vendor’s bid, no bid
    (5) 7 Hagen Place Whalen – Passed in $ 500,000 with vendor’s bid – only one bid was $ 470,000
    (6) 3 Howell Ave Matraville – passed in $ 2.37m
    (7) 6 Gibraltor Rd Bowral – passed in – 0 bids
    (8) 3/265 Liverpool st Darlinghurst – passed in $ 1,430,000
    (9) 248 Addison St Goulburn – passed in $ 965,000

    Buyers are happily walking away from the property as vendor’s expectation is rediculous and lots of choices as supply keep coming every week.

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