The April capital city property market shrunk with Sydney's decline in stock levels at 9.7%: SQM
No capital cities experienced an increase in stock levels over the month of April, with Sydney recording the greatest monthly decline of -9.7%, according to the latest SQM Research report.
Stock listings declined nationally by 2.7% over April with online residential listings sitting at a total of 345,034.
Nationally, stock listing decreased -1% year on year when compared to April 2012.
Sydney recorded the greatest monthly decline of -9.7% with a total stock listing of 25,121 for the month of April.
Compared to April 2012, Sydney experienced a -14.5% decrease.
Melbourne recorded a monthly decrease of -1.1% with a total 44,829 listed stock for the month of April.
Year on year, Melbourne experienced an increase of 1.7%.
Managing Director of SQM Research Louis Christopher says Melbourne still has too much stock on the market.
“It looks elevated,” says Christopher.
Darwin experienced the smallest decrease of -0.1% during April with a total of 1,176 listed stock.
Meanwhile, Canberra recorded the largest yearly increase in stock levels, growing 5.2% since April 2012 with a total of 3,768 listed stock.
Canberra recorded a decrease of -1.9% for April but Christopher says that’s seasonality.
“It is becoming clear now that these results of late have been more influenced by seasonality rather than cyclical factors.
“That suggests to me that the forces of demand verses supply in the national housing market are reasonably balanced right now.
“Sydney is clearly in recovery mode, while I strongly believe Canberra is in a downturn,” says Christopher.
SQM says the property market is now showing signs of shifting from a volatile market, which has been dependent on interest rates and the country’s economic climate, to a market that is in the state of equilibrium between buyers and seller.
