Ray White Now | Updated weekly Ray White Now | 26 May | Page 6

Why are we seeing
strong sales results now?
Our clients that have come to market in recent weeks
have achieved great results because of the basics of
supply and demand.
In regards to supply, the number of properties ‘for sale’
have reduced significantly. With less properties for buyers
to choose from - this leans towards our sellers obtaining
an advantage in achieving better results. So the buyers
active in the current market are competing over less
houses, which is great news for every property owner
currently selling.
The other fundamental is that of demand, and in the case
of real estate, buyers are the demand. We have seen
strong demand from buyers active in the market; looking
to transact. When we look at our auctions in recent
weeks, we have seen the average number of bidders per
auction exceed the numbers that were achieved before
the current environment. So what factors are contributing
to buyer confidence?
• Interest rates are at record lows. Importantly, the
general consensus among economists is that they will
remain at these low levels for the foreseeable future.
New listings to the market
The chart illustrates the
reduced number of new
listings that is currently
coming onto the market up
to 25 May 2020 compared
to the two prior years.
# New Listings / 28 days
6.0k
5.0k
4.0k
3.0k
2.0k
1.0k
Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul
2017-18 2018-19 2019-20
Source: Ray White Listings Data
Total available listings
The chart illustrates how
the reduced number of
new listings to the market
combined with a healthy
number of sales still taking
place up to 25 May 2020 has
reduced levels of properties
for sale.
# Total Listings
30k
25k
20k
15k
10k
5k
Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul
2017-18 2018-19 2019-20
Source: Ray White Listings Data
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