One of the most telling trends in Australia’s Q1 2025 housing market data was the rise in property listings. National listings are now 8.8% above the five-year average and up 3.2% compared to the same time last year. While this may seem like a step in the right direction, it’s still not enough to meet the surging demand caused by population growth and limited housing stock.
This issue became a hot topic in the 2025 federal election, with housing availability and affordability finally taking the spotlight. While it was only briefly mentioned during the last campaign, this time around it became a central point of public concern and political debate. With affordability worsening and more Australians being locked out of the market, the push for solutions addressing both supply and accessibility gained real momentum.
Why Listings Matter
Listings are the heartbeat of buyer confidence. When more properties are available, buyers feel they have options. This leads to more stable price growth, healthier competition, and ultimately, a more balanced market. But when listings are scarce, prices rise faster, and many Australians are priced out before they even begin.
The Supply-Demand Imbalance
In 2024 alone, Australia’s population grew by over 480,000 people. To accommodate that growth, more than 190,000 new dwellings are needed each year. Yet in 2024, only around 171,000 dwellings were approved for construction. The number of existing homes available for purchase hasn’t kept pace either.
This creates a bottleneck—demand continues to surge, but supply can’t move quickly enough. Without more listings, especially in major cities and growth corridors, the market remains skewed in favour of sellers, pushing prices higher and making affordability worse.
What Needs to Change
Increasing listings isn’t just about building new homes—it’s also about encouraging existing homeowners to enter the market. That means addressing:
- Transaction costs like stamp duty, which can deter people from moving
- Investor uncertainty, especially around interest rates and rental reform
- Planning delays that hold back infill development and subdivisions
Governments and councils can help stimulate more listings by offering planning certainty, speeding up DA approvals, and providing incentives for downsizing or relocation.
Following the election, the hope is that renewed political focus and accountability will translate into meaningful reform—not just for new builds, but for overall housing movement.
The Upside of a More Active Listings Market
A rise in listings doesn’t just benefit buyers—it helps sellers too. More movement in the market creates a chain reaction, where downsizers, upgraders, and investors all feel more confident to act. It leads to:
- Shorter time on market
- More transparent pricing
- Stronger negotiation outcomes
Conclusion
The Q1 2025 data shows early signs of improvement, but more listings are needed to unlock a healthier, fairer housing market. If governments, developers, and agents can work together to improve housing flow, the benefits will ripple across the entire economy.
Curious how your home fits into today’s market? Get a free house price report at www.checkmyhouseprice.com.au and see what’s possible when the market moves with you.
Leave a Reply