Properties are being removed from the market faster than they’re being added, which is pushing up demand and prices, according to CoreLogic.
Between May and July, 1.4 homes were sold for every 1 new listing added to the market.
Supply and demand are in balance when the number of sales matches the number of new listings. But in all capital cities, for every 1 new listing there were more sales:
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Adelaide = 2.0 sales
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ACT = 1.5
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Sydney = 1.5
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Hobart = 1.5
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Brisbane = 1.3
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Melbourne = 1.3
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Perth = 1.2
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Darwin = 1.1
The reason the sales-to-new-listings ratio is so high right now is because properties are selling at their fastest rate since 2004, while new listings are below their long-term average.
With prices rising fast, the sooner you enter the market, the less you’ll have to pay. So speak to a broker if you’re thinking about buying in 2021.