Australian Homes Selling in Record Time by Renee McKeown
Homes across the country are selling faster than any time on record as demand continues to exceed supply.
During March, properties in Canberra were taking the least amount of time to be sold (25 days), followed by New South Wales (27 days) and Victoria (30 days), according to the latest housing market indicators report by the REA Group.
These figures were twice as fast as sales times recorded in early 2019.
Nationally, the rate was just 48 days, compared to 71 days in June, 2020.
The changes were not as dramatic in Queensland, where sales currently average around 60 days on the realestate.com.au site.
Average days on site, properties listed for sale
^Source: REA Insights
Economist Anne Flaherty said the report showed there were no signs the Australian property market was slowing down this year.
“The average number of days properties are listed for sale on realestate.com.au hit record lows in every state in March 2021,” Flaherty said.
“The low cost of debt combined with an unprecedented level of government support has seen buyer activity surge this year.
“They are also looking for more space, with enquiries for houses and land surging, while demand for units has softened.”
Meanwhile, house prices are at record highs with capital cities outpacing regional areas for the first time since the start of the pandemic.
Westpac chief executive Peter King said while record low interest rates were driving prices up, the fundamental cause was a function of supply and demand.
“One of the ratios we look at is new listings to sales, and it's still out of whack—we're getting more sales than new listings, which basically is what's driving [property] prices,” he said.
This weekend there are 2207 auctions due to be held, up on the lower numbers of Easter, while clearance rates remain at all time highs.