Australian mortgage brokers are kicking off 2026 with marginally more stock to work with, but still‑lean listing volumes are keeping conditions firmly in sellers’ favour.
SQM Research figures show total residential listings climbed 3.1% in January to 216,826 dwellings as the market reopened after the holiday shutdown. That lift only partially reverses December’s drop, and overall supply is still 11% below January 2025 – a key constraint for borrowers trying to trade up or enter the market.
Nationally, new listings actually slipped 4.7% in January and sit slightly below a year ago, underscoring that much of the lift is coming from existing stock rather than a strong wave of fresh vendors.
The figures come as dwelling approvals slump, auctions and clearance rates rebound, and home values edge higher, tightening supply and adding to borrower serviceability pressures.
Sydney recorded the strongest lift in available homes, with listings up 7.1% to 28,922. Brisbane and Adelaide also posted solid monthly gains, while Perth, Melbourne, Canberra, and Hobart saw more modest increases in stock.
Darwin went against the trend, slipping slightly and sitting more than a third below last year’s levels – a reminder that borrowers in some smaller markets still face very limited choice and intense competition.
New listings were particularly strong in Sydney and Brisbane, with both cities seeing a sharp bounce in fresh stock, while Perth and Hobart went backwards after stronger late‑2025 activity – a mixed picture that will shape brokers’ campaign timing across different markets.
The composition of stock is shifting too. Older listings rose 4.8% nationally, pointing to a build‑up of longer‑dated properties as buyers become more selective after last year’s strong price gains.
Even so, this older stock is still 12% lower year-on-year, reinforcing the broader shortage theme. For brokers, that means some clients will have more room to negotiate on stale listings, while others face stiff competition for well‑located, newly listed homes.
SQM notes that the early accumulation in older listings is most evident in Melbourne and Adelaide, hinting at pockets where buyers are pushing back on price after a strong 2025.
Distressed listings edged down again in January and sit around a third lower than a year ago, indicating limited forced‑selling pressure nationally. However, the ACT stands out with a sharp year‑on‑year rise in distressed stock, warranting closer monitoring by brokers with exposure to that market.
“January’s data reflects a fairly typical reopening of the housing market following the Christmas break,” said Sam Tate (pictured), head of property at SQM Research. “While listings have lifted modestly, the bigger picture is that stock levels remain well below last year, which continues to underpin prices in most capital cities.”
Price indicators underline the challenge. Brisbane, Perth, and Adelaide continue to post double‑digit annual growth in asking prices, compressing borrowing capacity and forcing more clients into creative structuring or longer saving horizons.
Tate cautions that “Overall, the market remains undersupplied. Unless new listings rise materially in the coming months, upward pressure on prices—especially in Brisbane, Perth, and Adelaide—is likely to persist through the first half of 2026.”
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