Distressed selling conditions seemed to have moderated slightly in November despite the overall uptick in property listings.
According to the latest report from SQM Research, the number of properties selling under distressed conditions has fallen from 6,697 in October 2022 to 6,549 in the month to 5 December.
Over the month, distressed listings declined in Victoria and Queensland.
On a year-on-year basis, distressed listings declined significantly in South Australia and Western Australia.
Despite the decline in distressed listings, overall residential property listings increased in November, up 2.4% monthly and 3.4% yearly.
The largest monthly increases in property listings were in Hobart, Adelaide, Canberra, and Melbourne.
Over the year, Hobart reported the highest growth at 75.3%.
On the other hand, listings declined in Melbourne, Perth, and Adelaide.
SQM managing director Louis Christopher said the annual increase is a small one given the housing downturn.
“This is somewhat masked by the fact we had a massive surge in property for sale on the end of lockdowns and other travel restrictions in 2021,” he said.
“However, the marginal rise in old listings confirms this downturn is not severe.”
Older listings, or those in the market over 180 days, rose 3.9% monthly and 3% yearly in November. However, Hobart, Sydney, and Melbourne reported significant gains in this segment over the past year.
“One of the key reasons why I was not more negative for the outlook on housing for 2023 was because stock listings have remained relatively stable — there is nothing in today’s numbers which change my mind on that,” Mr Christopher said.
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