Property sellers appear to be trying to take advantage of demand in some of the markets in Victoria and New South Wales that were popular during the pandemic, with offers rising significantly in recent weeks.

According to a recent market update from CoreLogic, approximately 45,000 new properties entered the market in the four weeks to mid-October, indicating a 28.2% increase.

About 71% of these new listings were for homes. This is slightly below a five-year average, where homes typically make up 74% of new listings.

Eliza Owen, CoreLogic’s head of research, said there has been an increase in listings in some of the most popular markets during the pandemic.

“What’s interesting is that there has been a big jump in volumes in markets that have been extremely popular due to the pandemic, such as the Mornington Peninsula in Victoria, where total quotes have increased by 261 campaigns in the last four weeks,” she said. .

“The Mornington Peninsula region is one of the fastest growing markets in the country, with home values ​​up 35.3% in the 12 months to September.”

Sydney’s Northern Beaches region, where prices are up 37.2%, has also added a slew of new properties to its stock during the period.

Other popular regions in New South Wales, such as Newcastle and Wollongong, are starting to see recovery in the lists. However, the housing supply in these markets is still well below the five-year average.

“The news may come as a relief to buyers as it means they have more inventory to choose from after a long period of relatively short advertised supply,” Ms Owen said.

Melbourne Markets Report Biggest Gains

While new quotations rose in high demand areas, markets with more subdued capital growth also saw quotations rise, particularly in Melbourne.

Interestingly, Melbourne comprised more than half of the top 50 markets with the largest growth in new listings. However, some of these markets have relatively weaker demand than the more popular areas.

For example, Wyndham added 231 new properties to its inventory over the period. Values ​​in this market rose by only 5.8% compared to last year.

Stonnington, which ended the four-week period as the market with the highest new quotes, had a moderate annual gain of 8.3%.

Wyndham and Stonnington’s annual price increases were significantly lower than Melbourne’s 15% increase.

List of regions with the largest increase in new listings in the four weeks to October 17.

Ms. Owen said new offerings are expected to grow continuously over the coming weeks, before a seasonal decline occurs around mid to late November.

“The highest growth in listings still appears to be concentrated in less desirable owner-occupier markets, such as the unit segment and high-investor markets in Sydney and Melbourne,” she said.

“While there are signs that sellers are reacting to the high price increases in some of the popular or coastal markets, which could create more bargaining power for some buyers, in many cases listing volumes are still well below historical averages.”

Photo by Maximillian Conacher on Unsplash

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