The number of properties listed for sale in Australia is tracking at the lowest level in nearly a decade, according to CoreLogic research.
Over the month of July, CoreLogic tracked 27,848 newly listed properties – those not previously advertised for sale over the last six months – and 207,883 total properties listed for sale.
Newly advertised stock is 22.0% lower than a year ago, and “significantly” down relative to recent years on a broader scale.
Total stock for sale is also at the lowest level in years, down 3.5% as compared to the previous year.
According to CoreLogic, the low number of listings is partly due to the natural seasonal lull felt in winter, but is also “reflective of weak vendor sentiment.”
“With the spring listing season only one month away, there is a strong chance listing numbers will rebound sharply as pent-up vendor demand is unleashed. The big question is whether buyer demand will rise to meet any surge in listing numbers,” said CoreLogic analyst Cameron Kusher.
The decline of newly listed properties for sale compared to last year is greater across the capital cities than nationally, down 24.7% as compared to 2018.
Additionally, even as clearance rates have been consistently rising, auction volumes have been notably low year on year in recent months, further highlighting the shortage of listings.
“We’re seeing the demand side, but let’s see what happens when the supply side gets going. Until we do, it’s a bit of an unknown,” said Kevin Brogan, CoreLogic national auction market commentator.
That said, it is possible that the recent improvements felt in the housing market could contribute to vendor confidence and play into the seasonal upswing in listings typically seen through spring and summer, according to CoreLogic commentary.