The suburbs selected represent the housing markets most in need of supply, with all 20 having inventory levels (the time it would take to sell a house) under one month.
To be included, suburbs had to be within 100km of a capital city, and were excluded if more than 0.05% of their houses were currently listed for sale or had fewer than 1,500 total houses in the suburb.
Top 20 undersupplied housing markets in Australia
|
Rank |
Suburb |
Median price |
|
1 |
North Sydney, NSW, 2060 |
$2,400,000 |
|
2 |
Dapto, NSW, 2530 |
$737,000 |
|
3 |
Belmont, Vic, 3216 |
$735,000 |
|
4 |
Highton, Vic, 3216 |
$861,000 |
|
5 |
Conder, ACT, 2906 |
$880,000 |
|
6 |
Fairy Meadow, NSW, 2519 |
$1,150,000 |
|
7 |
Menai, NSW, 2234 |
$1,405,000 |
|
8 |
Evatt, ACT, 2617 |
$905,000 |
|
9 |
Stanmore, NSW, 2048 |
$2,150,000 |
|
10 |
Corrimal, NSW, 2518 |
$1,150,000 |
|
11 |
Amaroo, ACT, 2914 |
$915,000 |
|
12 |
Freshwater, NSW, 2096 |
$3,250,000 |
|
13 |
Kambah, ACT, 2902 |
$880,000 |
|
14 |
Collaroy, NSW, 2097 |
$3,750,000 |
|
15 |
Croydon Hills, Vic, 3136 |
$1,060,000 |
|
16 |
Cromer, NSW, 2099 |
$2,365,000 |
|
17 |
Bangor, NSW, 2234 |
$1,510,000 |
|
18 |
Largs Bay, SA, 5016 |
$696,000 |
|
19 |
Salisbury Heights, SA, 5109 |
$515,199 |
|
20 |
Flagstaff Hill, SA, 5159 |
$653,500 |
Source: HOOD.ai
The reason the report quotes an inventory level of “under one month”, rather than stating a specific number, is because when inventory levels are so low, the data can be very volatile and using a specific number could be misleading.
HOOD.ai founder and CEO Tommy Fraser said buyers who want to move to these 20 suburbs are struggling right now because owners aren’t selling.
"It would be great to return to a balanced market, where owners enjoy reasonable capital growth and buyers have a reasonable chance of finding a property in their chosen suburb. For that to happen, these 20 suburbs need to see a significant increase in new listings," Mr Fraser said.
"Part of the reason Australia has been experiencing a property boom is because stock levels have been low, which has forced buyers to compete harder and bid up prices.
"That story has really played out in these 20 suburbs, where inventory levels have been incredibly low over the past year.
"As a result, the median house price of most of these suburbs has experienced a double-digit percentage increase over the past year.
"Buyers desperately need new stock to come onto the market in all these suburbs, because, right now, they’re in a terrible bind.
"When a house comes onto the market, do they offer a fair price and risk missing out? Or do they do whatever it takes to win the property but overpay?"
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