Property sales may have been down for the 2023 financial year as interest rates skyrocketed, but there are positive signs of recovery.
There were more than 665,000 property settlements across the country last financial year, totalling $603 billion, according to PEXA’s 2023 Property Insights Report.
This was down 18.6 per cent from the 2022 financial year boom, but still 11 per cent higher than immediately prior to the pandemic.
Also read: NAB’s major property price prediction
While settlement volumes were down overall, PEXA’s head of research Mike Gill said green shoots appeared in the second half of the year at comparable numbers to the prior boom year.
“This suggests the market has already bottomed out and is beginning to recover as we enter FY24,” Gill said.
“Despite higher interest rates and other headwinds, we are still seeing strong demand for housing in Australia, with settlement volumes starting to bounce back.
“There are a number of factors that will continue driving the property market this year, including increased net migration, the trend toward smaller households, low volumes of new listings as sellers wait for the market to improve, and a very tight rental market.”
Queensland topped the nation for the second year running, with more than 176,000 residential sale settlements completed in 2023, ahead of Victoria with 164,883.
NSW led the way when it came to the value of properties sold, with more than $181.4 billion spent on residential property in the state, ahead of Victoria with $135.7 billion.
Top 10 suburbs
Seven of the top 10 best-selling postcodes were in Melbourne. Popular new development areas in Melbourne dominated the list, with Tarneit in the city’s west topping the list, with nearly 5,500 sale settlements.
Only three postcodes were outside Greater Melbourne - Marsden Park in NSW, Newtown in Ipswich, Queensland and Yarrabilba in Logan, Queensland.
Tarneit Vic 3029
Craigieburn Vic 3064
Marsden Park NSW 2765
Clyde North Vic 3978
Melbourne Vic 3000
Point Cook Vic 3030
Newtown Qld 4350
Cranbourne East Vic 3977
Yarrabilba Qld 4207
Rockbank Vic 3335