Australian property sales are around the lowest point in two decades, primarily driven by plummeting property prices and tighter lending conditions. Sales have fallen most dramatically in Melbourne and Sydney, but other capitals have also seen a fall over the past year.
Fewer properties being bought and sold has significant impacts on the real estate industry, but also reverberates through the broader economy, notably via less activity for builders, tradespeople and retailers.
Australian property sales are close to record lows
An estimated 98,000 properties were sold in the three months to March 2019. This was 17 per cent below the same period in 2018 and well below the peak of 163,700 sold in the three months to July 2003 (see graph). Property sales are 35 per cent below the most recent peak in mid-2015, which occurred when price growth was in double digits. Data for recent months are adjusted to account for under-reporting of recent sales and are, therefore, estimates.
In the year to March 2019, 442,000 properties were sold.
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