News release – 20 April 2022
More than $150 billion of property was settled across the east-coast of Australia, illustrating that Australian’s love affair with property continues amidst growing speculation of imminent market softening, according to the latest analysis released today by PEXA Insights.
PEXA’s Property Insights quarterly report finds that property sale settlements across both the east-coast and west-coast of Australia from January to March are comparable to the record-breaking numbers seen for the same period in 2021, with metropolitan areas strongly outperforming regional areas in all east-coast states.
Queensland, New South Wales, Victoria and Western Australia all recorded at least 20% growth in aggregate value when compared to the first quarter of 2021. Given settlement volumes have remained consistent, PEXA’s findings highlight the growth in property prices throughout 2021.
State-by-state snapshot for property sale settlements from January to March 2022
- Queensland has continued its recorded breaking form for property sale settlements, leading the country for a third successive quarter for volume with 51,458 sale settlements, valued at approximately $39 billion.
- Toowoomba, Surfers Paradise, Mackay and Bundaberg all made the top 10 postcodes nationally for property sale settlements.
New South Wales
- New South Wales continued to lead the nation in terms of aggregate value for settlements, recording $62.3 billion from 48,100 settled sales.
- The state experienced a soft January and February, however rebounded strongly in March.
- Victoria experienced the highest year-on-year growth (36%) in aggregate sale settlement value, recording $50.9 billion from 50,702 sales settled.
- The state’s outer metropolitan growth channels continued their strong performance across the quarter, with Truganina recording the highest number of property sale settlements than any other postcode in the nation. Cranbourne, Craigieburn, Werribee and Clyde all made the top six most popular postcodes.
- Western Australia saw a resurgence at the start of 2022, with 2.5% growth for the quarter when compared to the same period in 2021. This coincided with the state re-opening borders to the eastern states.
- The state bucked the trend of the east-coast, with regional areas outgrowing metropolitan areas. Mandurah placed third in the top 10 postcodes for sale settlements.
Mike Gill, PEXA Insights’ Head of Research said: “Although we are not seeing the high levels of year-on-year growth in property witnessed over the past three years, sale settlements are at similar levels to the record numbers seen in the first quarter of 2021.
“One of the more interesting trends we have seen in the latest quarter is a return to capital cities. Throughout the COVID pandemic, regional areas boomed, however with restrictions significantly relaxed, it appears Australian homebuyers have refocused on the metropolitan regions in Queensland, New South Wales and Victoria.
Scott Butterworth, PEXA’s Chief Data and Analytics Officer believes that although Australia’s property market continues to demonstrate its resilience, there are many variables yet to play out in 2022.
“A level of uncertainly remains across global markets with new variants of COVID emerging, the Russian invasion continuing, and rising interest rates. The PEXA Insights team will continue to closely monitor the impact of these issues on the Australian property, most notably the imminent rise in the Australian cash rate as speculated by many of the nation’s leading economists,” said Mr Butterworth.
First quarter sale settlements since 2019