lack of competition

Sellers enjoying ongoing lack of competition

If you are one of those homeowners who likes to follow what’s happening in the Victorian property market, you’ll know that one of the consistent messages to come out of the market during 2019 was frustration at the lacy of available property listings.

Of course, if you were trying to buy a property in 2019, this will come as no surprise whatsoever! What many people may not have fully appreciated is just how low listing numbers were.

We touched on this topic in a post in November last year, when we pointed out that listing numbers in October 2019 were by almost 5% on the same time in 2018. However, the latest data from SQM Research makes even more concerning reading for buyers, but very good news if you’re planning on selling, (particularly if you’re not buying at the same time).

Figures released early this month by SQM Research show that residential property listings across Australia were down by 14.8% in December, decreasing from just under 339,000 in November 2019 to close to 289,000 a month later. Compared to December 2018, national listing numbers were down by 12%.

Of course, it is important to remember that listing numbers are expected to fall in December as it is the start of the holiday season. However, the changes from one year to the next are certainly worth following.

On a local level, the figures were even more concerning. Melbourne’s residential property listing numbers in December 2019 hit just over 30,000. This compares with 40,000 in November, and over 36,000 in December 2018. That’s a year-on-year drop of over 16%.

Not surprisingly given the limited availability of property and the strong buyer numbers, SQM also reported an increase in the average asking price of homes in Melbourne, up by 4.2% in December.

Clearly, numbers like these are further confirmation that a shortage of competition is assisting many home sellers to achieve excellent results right now. If you are currently considering making a move, and would like some experienced, objective property advice, you can call one of the helpful Customer Service team at Ian Reid Vendor Advocates a call on 1300 400 400.

You’ll also find lots of useful tips in our free booklet, “Fatal Real Estate Traps Exposed”.