Number of properties for sale up 2.4%

The latest PropTrack data on property listings shows the number of properties for sale increasing in nearly all parts of Australia in October.

Released by REA Group on Thursday, the PropTrack Listings Report October 2022 analyses new and total listings on realestate.com.au to provide the  most up-to-date information on property market supply trends.

The key findings revealed that:

• Buyers continued to see more choice in October, with the total number of properties up across most parts of the nation
• The total number of properties listed for sale on realestate.com.au increased 2.4% month-on-month in October, taking total listings 6.1% above last year’s levels
• The increase this year has been significant in capital cities, particularly Sydney,

Melbourne and Canberra where stock levels are above the prior decade average

• New listings were up 5.6% month-on-month in October. This is fewer listings than is typical for the middle of spring.

Read next: Distressed listings on the upswing

PropTrack economist and report author Angus Moore (pictured above) said the choice for buyers had improved significantly during 2022.

“This will come as welcome news for those searching for a new home this spring,” Moore said. “Compared to a year ago, the total number of properties listed for sale was up 6.1%. 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.”

Mason said while total stock had improved, new listings have had a slower start this spring after a busy first half of the year and busier-than-normal winter.

“New listings picked up in October following a public holiday-affected September. However, the lift was more moderate than in recent years. It is still too early to know whether this

represents a market shift after a very busy first half.”

Home prices had been declining in most cities after growth hit multi-decade highs in 2021 and are now down 3.5% nationally from the peak in March, said Mason.

The RBA had continued to raise interest rates and inflation remained high, with forecasts expecting inflation to stay elevated for at least 12 to 18 months.

“In this environment, the RBA is likely to keep raising rates over the course of 2022 and into 2023. That will further reduce borrowing capacities for prospective buyers, and we expect this to continue placing downward pressure on home prices,” Mason said.

Read more: Rising interest rates puts the brakes on home sales

But he said looking further ahead, the housing market was underpinned by positive fundamentals, including very low unemployment, expectations that wages growth would  pick up over this year, and increasing international migration.

The PropTrack report showed the following cities all experienced annual increases in total property listings – Sydney (8.9%), Brisbane (14.8%), Perth (1.2%), Hobart (87.1%), Darwin (9.7%) and Canberra (26.3%). Total listings were down year on year in Melbourne (-2.2%) and  Adelaide (-5.3%).

In regional areas, the total stock of properties listed for sale was up 2.2% month-on-month in October, the sixth consecutive monthly increase. Total stock in regional areas was up 7.5% compared to a year ago, though it was low compared to pre-pandemic levels