The current data at a national and capital city level shows fairly steady days on market however, we are seeing diverging trends across the individual cities.
At the end of 2017, properties sold by private treaty across the nation typically took 45 days to sell and across the combined capital cities they took 40 days to sell. Both the capital city and national measure has been reasonably steady over recent months however, the days on the market figure for each region was slightly 60 lower a year earlier. In December 2016 it typically took 44 days to 40 sell a property across the nation and 37 days across the combined 20 capital cities
The trends are changing quite significantly across the individual capital cities. Brisbane
In December 2016 the typical home took 47 days to sell while a year later they were taking 53 days to sell. The days on market figure has been trending higher since reaching a recent low of 43 days in March 2017.
With dwelling values now falling in Sydney and slowing across many cities it is reasonable to expect that over the coming 12 months the number of days it takes to sell a property will trend higher. In particular this is likely to occur in Sydney (where valuesare already falling) and Melbourne given that both cities have experience rapid rates of sale and strong growth in dwelling values over recent years. Vendors in those cities were market conditions are softening will need to be realistic about their pricing expectations; as properties take longer to sell, buyers will be more140 inclined to negotiate on asking prices and vendors may face higher competition from other properties listed for sale as inventory levels rise.
On the other hand, markets such as Perth, where housing values have been falling, are now showing a reduction in total advertised stock levels and homes are starting to sell in fewer days which should help to dampen further value falls.Typically, when analyzing housing markets, the median (the middle value) is the most popular method.
By definition the median provides an idea of what a typical property is either selling for or valued at.
By looking at different valuation percentiles, it delivers a much better idea of the range of housing costs across a geography.
(Note: The 10th percentile value represents the lower end of a housing market while the 90th percentile indicates the most expensive 10% of properties).cross Australia’s combined capital cities, the median dwelling value is $650,930 while the 10th percentile value is $350,723 and the 90th percentile value is $1,455,490.
The difference between the median and the 10th percentile value is -46.1% while the difference from the median to the 90th percentile is 123.6% which results in a range between the 10th and 90th percentile values of 315.0%.
(Note: that the broader this range the more diverse the cost of housing and the narrower the less diversity there is).Brisbane – the median dwelling value is recorded at $490,525 while the 10th percentile value is $302,177 and the 90th percentile is $826,860. The 10th percentile value is -38.4% lower than the median while the 90th percentile is 68.6% higher than the median and 173.6% higher than the 10th percentile.