Listings drying up in Brisbane real estate market
Wondering why you’re struggling to find a home that ticks all your boxes? Does it feel like your home hunting has just got started and you’ve already seen everything that could suit you, and the offerings are thin on the ground? Recent stats confirmed what many home-buyers are finding on their search: There’s a shrinking pool of homes for sale in Brisbane.
RP Data reported there were 18,193 homes advertised for sale in Brisbane over the past month, down almost 14% on the same time last year. Now 18,000 might sound like a lot of choice, but when you have a deep dive into any local market you’ll find there’s not a lot available. Buyers are finding the pickings slim in many suburbs and new listings can be hotly contested.
Real Estate Institute of Queensland members throughout the state, but especially in Brisbane, are reporting a number of potential seller clients sitting on their hands, unwilling to go to market.
All capital cities recorded similar trends (except Darwin) and it appears the short supply of homes may be adding to upwards pressure on prices. REIQ figures show Brisbane’s median house price rose 1.9% April to June, now up 6.6% for the past year. Average vendor discounting in Brisbane is down to 5.6%, compared to 8.9% in June 2013.
So with a market gathering momentum and confidence levels rising, why would property owners hold off selling? One of the ‘great real estate mysteries’ is the way patterns of behaviour emerge and spread amongst both sides of the transactions – sellers and buyers. Sellers are currently telling us they’re “not quite ready” and are “still looking at the options”. Some will be hoping Brisbane is about to follow Sydney and experience 16+% price growth. Some are uncertain about taking on more debt to upgrade to that larger home.
Some might be waiting for that mythical Spring selling season, a wondrous time when flowers bloom, birds chirp and real estate dreams come true (at least in places where it’s hard to inspect a home in winter when the sidewalk needs a snow-plough!)
Whether it’s one of these shared concerns amongst those thinking of selling, or simply waiting for a lead from others, many home owners are postponing their decision. There’s effectively a ‘build up’, a growing supply of Brisbane property that will come to market as their sentiment changes, their reasons to move home (or cash in that investment) take precedence and the sale board goes up.
As quickly as one trend emerges another usually follows, so if you’re wanting to sell this could be a good time. Before your competitors hit the market. Before the supply of homes for sale grows back to normal levels. Or beyond.