June property snapshot: everything you need to know

Article by Monika Malolepszy Marketing Specialist 7 June 2023

If you’re looking to invest in the Australian property market or currently have a property or two in your portfolio, read on below to find out how the market is performing.

Key takeaways for property investors this month:

• In May, national residential property listings decreased by 0.3%, totalling 226,262 dwellings compared to 227,020 recorded in April.
• New listings (less than 30 days old) experienced a 3.0% increase in May, with 62,244 new property listings added to the market. However, this represents a 16.9% decrease compared to May 2022.
• Listings older than 180 days rose by 1.5% to surpass 64,227 dwellings.
• Although there were increases in new listings, the decline in listings aged between 30 to 60 days offset those gains.
• Distressed property listings saw a decrease of 3.8%.
• The national combined dwelling asking prices saw a month-over-month rise of 2.1%. Asking prices in the capital cities increased by 0.8%, with Adelaide leading the way with a 1.9% rise.
• South East Queensland, North Coast NSW, and Hobart witnessed significant declines in asking prices.

According to the latest data from SQM Research, national residential property listings declined by 0.3% in May, totalling 226,262 properties compared to the 227,020 recorded in April 2023. The decrease was primarily driven by reduced listings in Melbourne, Brisbane, and Perth, along with significant declines in listings that had been on the market for 30 to 60 days.

While most cities experienced a decrease in listings, Sydney saw a slight increase of 0.4%. Additionally, Canberra and Darwin recorded notable increases of 3.0% and 3.6% respectively in their property listings.

New Property Listings

In May, there was a national increase of 3.0% in new property listings (less than 30 days), with 62,244 properties added to the market. Sydney, Melbourne, and Brisbane experienced rises of 11.1%, 2.5%, and 2.9% respectively. Other cities had mixed results, with Canberra showing a strong rise of 13.4%, while Darwin and Hobart witnessed significant declines.

SQM Research predicts a decline of 15% to 20% in new listings for June, attributed to the typical winter lull in activity.

Existing Property Listings

Older listings (properties on the market for over 180 days) increased by another 1.5% in May, marking a 28.9% rise over the past 12 months. Most cities saw an increase in older stock, except for Melbourne, Perth, and Canberra. Additionally, there was a decrease of 5,193 properties listed for 30 to 60 days, indicating higher selling rates for these properties.

Distressed Property Listings

As of May 2023, the number of residential properties being sold under distressed conditions in Australia decreased to 5,572, a drop of 3.8% from April’s recorded figure of 5,793. The decline in distressed selling activity was primarily driven by decreases in Queensland (down 6.1%), ACT (down 28.6%), and South Australia (down 4.5%) compared to the previous month.

Increase in Asking Prices

Nationally, vendor asking prices saw a consecutive monthly increase in May. The rise of 2.1% was driven by significant increases in asking prices for houses in regional Australia, along with ongoing rises in larger capital cities. Brisbane experienced a 1.7% increase, while Adelaide saw a rise of 1.9%. South Western Australia observed a substantial increase in vendor sentiment, with a 4% rise in asking prices for the month. In contrast, Hobart experienced a decline of 1.4% in dwelling asking prices.

Meanwhile, there appears to be a correction in asking prices for South East Queensland and North Coast NSW, with a 0.8% decrease in North Coast NSW dwellings, a 2.4% decrease for Southern Gold Coast dwellings, and a 3% decrease in asking prices for dwellings in Surfers Paradise. SQM Research is closely monitoring these changes in market conditions, considering the significant rises in the housing market seen in South East Queensland and North Coast NSW during 2021 and 2022.

About the data:

The findings in this report are based on the latest insights from SQM Research as of 7 June 2023. SQM Research is an independent investment research institute that specialises in providing accurate property market data. It is operated by one of the country’s leading property analysts, Louis Christopher.  

Disclaimer:

Buyers and investors should consider conducting their own research and seeking professional advice before making any property purchases. The information enclosed has been sourced from SQM Research and the Reserve Bank of Australia and is provided for general information only. It should not be taken as constituting professional advice.

PropertyMe is not a financial adviser. You should consider seeking independent legal, financial, taxation, or other advice to check how the information relates to your unique circumstances. 

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