We are continuing to see strength nationally in property prices with the latest available property data from Corelogic* highlighting a quarterly increase of 2.5% across the country, slightly down on the increase in the previous quarter of 2.9%. Areas of particular strength include the Brisbane market which rose 4.2%, Sydney 3.8% and Perth which had robust growth of 2.9%. An increase in housing supply levels in the Eastern States and more certainty around interest rates has seen the team at The Agency experience a strong start to Spring 2023. Consumers who have been looking to secure a new home now have more choice with The Agency data highlighting a 17% increase in properties for sale in Melbourne and 16% increase in Sydney in the month of August and this is continuing to track upwards with early data for September indicating a further 30% increase. The number of homes available for sale in the West Australian property market is at an all-time low with volumes down 5%. Demand from consumers shows no sign of slowing with an average of just 14 days on market. The Brisbane property market has now clearly moved into the recovery phase of the property cycle with 7 month-on-month increases* in median property prices. A number of regional Queensland areas saw double-digit growth* in the last 12 months including Toowoomba and Rockhampton in which The Agency has a presence. Tasmania has seen an increase in total listings year on year and the rental market has experienced modest rises in rents of around 1%* . In terms of economic outlook we appear to be at the very top of the interest rate cycle but it is important to recognise that the increases in interest rates are still only beginning to filter through. The mortgage cliff environment where over 1.1 million fixed rate loans of circa 2% are moving to new rates between 6% and 6.5% has only just begun and will continue to March 2024. Overall nationally our team is seeing a better and safer transactional environment than we have seen in recent times with less pricing volatility and greater stability.
MANAGING DIRECTOR AND GROUP CEO, THE AGENCY.