If you’re in the market for a home, you may have noticed there hasn’t always been a whole lot of choice in recent months. Fortunately, it looks like property listings are really starting to pick back up. Here’s how to make the most of the increase in choice.
Sure, price is the obvious big barrier when it comes buying your first home.
But that’s often got a whole lot to do with a lack of supply (less supply than demand typically = higher prices).
And in fact, Westpac says supply shortages have been one of the most significant hurdles for Aussies trying to enter the property market, with one in four (26%) first home buyers saying a lack of listed properties was holding them back.
But the tide may be starting to turn.
According to SQM Research, new listings “surged” 48.6% nationally in February, marking the strongest monthly rise since spring 2025.
And new listings continued to climb in the four weeks to mid-March.
Let’s take a look at why a rise in homes listed for sale is a plus for home buyers, and how it could impact your buying plans.
According to Cotality, March has seen new listings climb by 10% or more (year-on-year) in Melbourne, Brisbane, Hobart and Canberra.
Sydney (up 4.1%) and Adelaide (4.8%) have seen more modest growth in new listings, though the overall trend is upwards.
Only Perth and Darwin are bucking the trend, with new listings down 12.8% and 12.3% respectively compared to a year ago.
Across our capital cities, the four weeks to mid-March saw a For Sale sign pop up in front of an extra 27,772 homes.
An increase in new listings offers several upsides for home buyers.
More homes on the market means more choice, so you may not have to compromise on your wish list of home features.
In addition, increased supply has the potential to keep a lid on price growth.
However, that doesn’t necessarily mean values will fall.
Listings are still 9.1% lower year-on-year. So we’re still not in a ‘balanced’ market where supply equals demand.
In fact, delaying your buying plans in the hope that home prices will soften could work against you.
SQM Research crunched the numbers and found that even if the Reserve Bank hiked interest rates by a further 0.25% by mid-year, capital city home values could still end the year 3.0% higher. Home values in several cities including Perth, Brisbane, Darwin and Adelaide could rise by at least 10%.
Long story short, it’s worth thinking about how you could benefit from increased supply right now, rather than postponing your buying plans.
There are several ways you may be able to take advantage of an increase in property listings.
First and foremost, understand your borrowing power. This may have changed as a result of the March rate hike.
Talk to us to know how much you can comfortably borrow. It can drive your buying budget.
Next, keep an eye on local sales results and selling times. Values may not fall, but if homes start taking longer to sell, you could have more leverage to negotiate a discount.
Finally – and possibly most importantly – talk to us about having your home loan pre-approved.
Westpac research shows two-in-five home buyers point to rivalry with other buyers as a barrier to getting into the market.
Having pre-approval in place could give you a competitive edge over less organised buyers.
So get in touch about securing pre-approval for a loan that suits your needs – it’s about making the most of a market that could be starting to swing in your favour.
Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to your circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.
Paul da Silva
Director & Senior Mortgage Advisor
