Despite a quieter than typical mid-spring selling season, the total number of properties listed for sale increased by 2.4% in October.
According to the PropTrack Listings Report, choice for buyers has improved with the total stock of properties listed for sale up 6.1% compared to last year.
PropTrack Economist Angus Moore said while new listings in capital cities recorded an uptick of 8.8% in October, it is lower compared to the level seen last year when listings activity was driven by post-Covid lockdowns.
“Choice for buyers has improved significantly during 2022 - this will come as welcome news for those searching for a new home this spring,” Mr Moore said.
“Sydney, Melbourne, and Canberra are all offering greater choice compared to 2020 and 2021, and all three cities now have more properties available for sale than has been typical in the past decade.”
| New listings | Total listings | ||
| Area | Month-on-month % | Month-on-month % | Year-on-year % |
| Sydney | 7.1% | -1.0% | 8.9% |
| Regional NSW | -2.5% | 2.4% | 30.8% |
| Melbourne | 9.3% | 3.9% | -2.2% |
| Regional Victoria | 12.8% | 7.0% | 30.3% |
| Brisbane | 5.3% | 2.5% | 14.8% |
| Regional QLD | -4.4% | -0.6% | -5.2% |
| Adelaide | 15.0% | 6.2% | -5.3% |
| Regional SA | -9.4% | 2.0% | -26.4% |
| Perth | 12.8% | 4.1% | 1.2% |
| Regional WA | 11.1% | 2.4% | -8.2% |
| Hobart | 6.4% | 7.5% | 87.1% |
| Regional TAS | 2.6% | 4.6% | 42.1% |
| Darwin | -7.3% | 0.8% | 9.7% |
| Regional NT | 50.0% | 4.7% | -9.1% |
| Canberra | 11.5% | 3.8% | 26.3% |
| Capital cities | 8.8% | 2.6% | 4.9% |
| Regional areas | 0.8% | 2.2% | 7.5% |
Source: PropTrack new and total for sale listings October, 2022
Mr Moore said while interest rates would further reduce borrowing capacities, homebuyers and sellers still have plenty of reasons to be confident entering the market.
“Looking further ahead, the fundamentals of the housing market remain solid, with unemployment very low, wages growth expected to pick up over this year, and international migration increasing,” he said.
New home sales plummet as interest rates rise
A report commissioned by the Housing Industry Association (HIA) has revealed the sales of new homes fell by 22.8% in October.
For the three months to October 2022, new home sales in Queensland were down by 31.9%; Victoria, 22.8%; New South Wales, 19.6%; and Western Australia, 9.1%.
South Australia saw the only increase, up by 13.9%.
HIA Chief Economist Tim Reardon said the weight of increases in the cash rate has begun to slow building activity and buying power.
“The full effect of the November 2022 increase in the cash rate is not likely to flow through to new home sales fully until June 2023," Mr Reardon said.
“Sales of new homes had already fallen 15.8% nationally in the three months to the end of September, due to the increases in the cash rate starting in May 2022.
“The increase in interest rates is compounding the rise in the cost of new home construction and further reducing the capacity of borrowers to finance the build of a new home."
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