- Preliminary auction clearance (Source: Cotality)
The preliminary auction clearance rate across Australia’s combined capital cities slipped slightly last week to 72.2%, down from the recent peak of 74.5% three weeks earlier; despite this, it’s still the fifth consecutive week above 70%.
- Residential land sales (Source: Liam Garman)
Residential land sales in Australia have fallen to their lowest quarterly level in 25 years, driven by a nearly 40% rise in building costs since 2019, according to the Housing Industry Association. Just 8,250 lots were sold nationally in Q1 2025, while median land prices hit a record $372,620, up 39.2% from 2019. Planning delays add nearly $20,000 in costs and extend approval times beyond six months, worsening land shortages. Combined with a 32% increase in construction costs since 2020, these factors are limiting housing supply and pushing prices higher, reducing affordability and shifting demand towards established homes.
- Sydney auction market (Source: Property Buzz)
Sydney’s auction market is experiencing a surge in activity as buyers anticipate a potential interest rate cut by the Reserve Bank of Australia (RBA). Auction clearance rates have consistently exceeded 70% in recent weeks, marking a significant improvement from the same period last year. Preliminary data indicates that nearly 75% of scheduled auctions resulted in successful sales, driven by low housing stock and strong buyer demand. Experts suggest that the expected rate cut could further stimulate the market, potentially leading to increased competition and higher property prices, especially as the spring selling season approaches.
- Cash rate target (Source: RBA)
On 12 August 2025, the Reserve Bank of Australia (RBA) reduced the official cash rate by 25 basis points to 3.60%, marking the third rate cut this year. This decision reflects a continued moderation in inflation, with the trimmed mean measure at 2.7% and headline inflation at 2.1%. The RBA noted that while private demand is recovering and real household incomes are rising, uncertainties persist due to global economic conditions and domestic challenges, including weak productivity growth. The Board remains committed to its objectives of price stability and full employment, with the outlook for economic activity and inflation continuing to evolve amid these uncertainties.
- National vacancy rates (Source: SQM Research)
Australia’s rental market remains under pressure, with the national vacancy rate declining to 1.2% in July 2025, down from 1.3% in June and 1.3% in July 2024. This equates to 37,863 vacant rental properties nationwide, indicating sustained demand and limited supply. Capital cities such as Sydney, Brisbane, and Perth continue to experience tight conditions, with vacancy rates below 1.6%, while Melbourne and Adelaide show signs of stabilisation. Nationally, advertised rents rose by 1.0% month-on-month and 4.5% year-on-year, with Sydney leading at an average of $859.38 per week. Experts warn that without a significant increase in rental supply, affordability challenges will persist, particularly in inner and middle-ring suburbs of major cities .
- Profit and Loss Report (Source: Domain)
Australia’s property market delivered strong returns in the first half of 2025, with Domain’s Profit and Loss Report showing 97% of house resales and 88% of unit resales making a profit. Brisbane and Perth led house gains with over 99% profitability, while Perth’s unit profits surged 55.5% year-on-year. Median resale profits reached $365,000 nationally, driven by rising prices and longer ownership periods. While Darwin and Melbourne saw declines, losses remained minimal. Analysts expect continued profitability through 2025, supported by undersupply and renewed price growth.
- House resales (Source: Mathew Williams)
In early 2025, Australian property sellers enjoyed the strongest profits in two decades, with approximately 97 per cent of house resales and 88 per cent of unit resales achieving gains – levels not seen since 2005 and 2022, respectively. Brisbane led the nation, with over 99 per cent of both houses and units selling for a profit. Adelaide and Perth also delivered robust returns, while Sydney recorded the highest median house profit of $700,500, nearly double the national median of $365,000. In contrast, Darwin showed softer performance, and regional markets performed strongly as well. Market momentum continues to build, aided by longer holding periods – averaging nine years for houses and eight years for units – enabling significant equity accumulation.
- Building approvals (Source: ABS)
According to June 2025 data from the Australian Bureau of Statistics, total building approvals surged, with dwelling approvals increasing 11.9 per cent (to 17,076 units), private-sector non-house dwellings – like apartments – jumping 33.1 per cent, while house approvals fell slightly by 2 per cent; the value of total residential building rose modestly by 0.3 per cent, and non-residential approvals climbed 15 per cent – indicating renewed momentum in supply that could support both homebuilders and strategic property investors.
- CoreLogic Auction Results (Week ending 10 August 2025)
(Total Auction / Clearance Rate)
– Sydney: 556 / 70.5%
– Melbourne: 742 / 68.6%
– Brisbane: 124 / 58.9%
– Perth: 9 / 33.3%
– Canberra: 57 / 75.4%
– Adelaide: 99 / 70.7%
– Tasmania: NA / NA
– Combined Capitals: 1,587 / 68.7%
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