The number of properties listed for sale in Sydney has fallen in the past year, putting housing stock at the lowest level since March 2010.
According to SQM Research, the number of residential properties listed for sale in Sydney has fallen by 23.1 per cent over the past year.
This raises fears of a housing shortage, which will subsequently help to drive up property prices. In fact, house prices in Sydney have risen by 4.8 per cent over the past six months according to RP Data.
However, this rise in property prices is partially driven by the increased consumer confidence aided by the rate cuts.
Additionally, the rising number of residential dwelling approvals should slowly help to tackle the housing shortage. In May, these rose by 1.5 per cent, according to the Australian Bureau of Statistics, and are up by 10 per cent compared to the same month a year earlier.
Posted by Craig Francis