A national shortage of listings and improved borrowing capacity for buyers is set to underpin one of the most competitive spring selling seasons in recent memory according to real estate group LJ Hooker.
Analysis by LJ Hooker shows new listing volumes are 18.2% lower than the 10-year average across Australia which, combined with a 65-percentage point fall in interest rates, is fuelling competition in markets.
Buyers are being squeezed most in Brisbane (-23.2%), Hobart (-31.9%) and Darwin (-24.7%). The largest capital city markets, Sydney and Melbourne, are down 11.4% and 8.6%, respectively.
LJ Hooker’s Head of Research & Business Intelligence Mathew Tiller said the unmet demand favoured sellers with auction clearance rates, which had edged above 70% in Sydney and Melbourne over August, likely to remain strong through the first weeks of spring.
Tiller said the spring window was a unique moment for sellers to capture the attention of buyers who had been buoyed by improved borrowing capacity.
“The shortage of listing suggests sellers are holding out for more rate cuts, looking to cash in on further borrowing capacity among buyers,” he said.
“But the Reserve Bank of Australia (RBA)’s Monetary Board has shown caution in their decision making, making it hard to predict when more cuts will be made.
“Sellers who are holding off until the RBA makes its next move may become lost in the crowd, competing against more sellers in their neighbourhood.”
Further fuelling competition this spring is the Australian Government’s fast-tracked changes of the First Home Buyer Guarantee. From 1 October 2025, three months earlier than planned it includes higher property price thresholds and abolished income caps.
“First-time buyers who previously sat on the sidelines now have greater access to the market. When you combine this with fewer listings and cheaper finance than a year ago, sellers who act early in spring will be best positioned to take advantage of heightened competition,” Mr Tiller added.
Australian Listings Report 2025
The Australian property market is currently experiencing a unique and advantageous paradox for sellers. Despite a surge in population growth, the number of property listings has significantly dropped. This reduction in listings, coupled with increasing demand, creates a seller's market where fewer homes are available, but buyer interest remains high.
Discover why the current Australian property market presents an ideal opportunity for homeowners to list their properties in the LJ Hooker Australian Listings Report 2025.
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