July Property Market Update

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July Property Market Update

Article by

Sinead Clarke

Communications Manager propertyme

7 August 2024

Vacancy rates

Vacancy rates slightly increased to 1.3% over the month of June with the total number of vacancies increasing from 35,641 in May to 40,486 vacant properties in June. 

 

Across the past 30 days, vacancy rate increases were seen in:

 

Sydney, from 1.4% in May to 1.7% in June

 

Melbourne, from 1.3% in May to 1.5% in June 

 

Brisbane, from 1.0% in May to 1.1% in June

 

Perth, from 0.6% in May to 0.8% in June

 

Adelaide, from 0.6% in May to 0.7% in June

 

Canberra, from 1,8% in May to 2.1% in June

 

Hobart, from 1.4% in May to 1.5% in June

 

Vacancy rates remained unchanged in Darwin at 0.9% over both May and June.

 

Louis Christopher, Managing Director of SQM Research said, “Going forward, we can now expect home listings to rise from their Winter lull as we head towards Spring. That may well put further pressure on the housing market. However, we also believe any rates’ cuts would lift certainty from would-be home buyers towards the end of the year.”

 

 

Rental values

On 6 August 2024, SQM Research recorded that the combined capital city’s weekly rental asking prices decreased by 1.1% over the past 30 days. This is the second decrease in 2024, following decreases in June. The national combined weekly rental asking price remained unchanged. 

 

Over the past 30 days to 6 August 2024, national weekly asking prices increased by 0.4% for houses and decreased by 0.7% for units.

 

The average national rental asking price is $695 for houses and $544 for units. Compared to last year, the national rental asking prices increased by 8.8% for houses and 8.2% for units. 

 

Over the past 30 days to 6 August 2024, across capital cities, there was a 1.3% decrease in house prices to $827 per week and a 0.8% decrease in units to $622 per week. Compared to last year, capital city asking prices increased by 6.8 % for houses and 5.6% for units.

 

 

Property prices

After a surge in listings in June, July experienced a slowing in new listings due to caution from both buyers and sellers.

 

Louis Christopher, Managing Director of SQM Research said, “The housing markets in Sydney and Melbourne continue to slow, driven by some caution from home buyers and uncertainty by home sellers who have become a little more negotiable in recent weeks.”

 

At 6 August 2024

 

The national median asking price for houses was $931,740, an increase of 1.2% over the past 30 days and a 10.3% increase over the past year. The national median asking price for units was $553,806, remaining unchanged over the past 30 days and a 7.6% increase over the past year.

 

The capital city average asking price for houses was $1,380,926 and a unit was $553,806.

 

Capital city average asking prices for houses decreased by 0.6% over the past 30 days, yet increased by 8.5% over the past year. Capital city unit prices increased by 0.2% over the past 30 days and 7.7% over the past year.

 

 

Cash rate and predictions

July saw the RBA hold the cash rate target at 4.35% stating, “Inflation has fallen substantially since its peak in 2022, as higher interest rates have been working to bring aggregate demand and supply closer towards balance. But the pace of decline has slowed in the most recent data, with inflation still some way above the midpoint of the 2–3 per cent target range.” 

 

Disclaimer: The information enclosed has been sourced from SQM Research and the Reserve Bank of Australia, and is provided for general information only. It should not be taken as constituting professional advice.

 

PropertyMe is not a financial adviser. You should consider seeking independent legal, financial, taxation, or other advice to check how the information relates to your unique circumstances. 

 

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