New Listings On The Rise As Spring Selling Season Gets Underway
Vendors are getting more confident, as the number of new listings coming to market is on the rise, according to CoreLogic. Traditionally, the winter months see listings slow down. However, this year vendors have been active, and properties are coming back onto the market sooner.
According to CoreLogic, new listings have risen by 13.2% through the winter season, driven by a 17.9% rise across the capital cities compared with a 4.6% rise in the flow of new listings across the combined regional areas of the country. Most of the broad regions of Australia are recording a rise in the number of fresh listings coming to market, but the lift is generally from a low base and driven by the capital cities.
Compared to the same period a year ago, new listings are up 1.5% across the combined capitals but down 11.7% across the combined regional markets. Australia’s two largest cities have seen most of the new flow of listings with Sydney (+10.9%), Melbourne (+9.7%) and the ACT (+2.4%) all recording higher new stock. However, the smaller capital cities could be about to experience more stock with the level of agent activity rising.
Over the month of July, the number of pre-listing reports generated by real estate agents has been tracking higher than a year ago and well above pre-COVID levels according to CoreLogic. Agent activity is 14.8% higher than at the same time last year, 10% higher than in 2021 and 31% above levels in 2019.
Despite advertised stock levels being the lowest relative to average levels in WA, SA and Queensland, these are the states where real estate agent activity has increased the most over the past month, signalling a potential rise in fresh listings.
Activity from real estate agents was 7.5% higher over the past month in WA, 5.7% higher across SA and up 5.4% in Queensland. Tasmania, where stock levels are already elevated, has also seen a substantial rise in real estate agent activity over the past four weeks, lifting 6.1%.
The two largest states, NSW and Victoria, where listings have been higher relative to the five-year average, have seen a smaller rise. This probably reflects an earlier rise in activity, as seen in the sharp lift in new listings since early July.
CoreLogic Asia Pacific Research Director, Tim Lawless, said the spring season is shaping up to be a busy one, making up for the relatively sedate spring and early summer selling season last year.
“Through the recent recovery phase to-date, low available supply levels have been the key factor supporting value growth,” Mr Lawless said. “A rise in stock levels could signal a further easing in the pace of capital gains across Australian housing markets as buyers benefit from a broader selection of available housing.”