Supply Levels Place Buyer's in Strong Position

Supply levels are elevated in some areas, especially in the high unit sector, causing buyers to be firmly in the driver’s seat and in a good position to take advantage of the strong buying position.

Although construction activity has recently moved through unprecedented peaks, concerns remain around specific high-density precincts, and to a lesser extent, some greenfield detached housing markets.

Advertised stock levels are also elevated in many cities. The number of properties advertised for sale has been consistently rising due to fewer buyers and longer selling times.

According to CoreLogic, the number of new Brisbane properties listed for sale during the 28 days ending in March 3, 2019 was 4,032. This resulted in a 11.3% fall from 12 months prior. In comparison to a 25.3% fall for Sydney and 22.9% fall for Melbourne.

While CoreLogic data stated that the number of total Brisbane properties for sale during the same time frame was 20,671. Which resulted in a total 3.6% increase from 12 months prior. In comparison to a 7.7% increase overall for Sydney and 16.5% increase for Melbourne.

Despite the surge in inventory, “fresh” stock being added to the market was down 19% relative to last year. This highlighting that vendor confidence is low.