Developers warned to ‘accelerate project launches' in one Aus state
One Aussie state has been warned to prepare for more demand for new homes and land as other states flatline in popularity or drop in demand altogether.
The latest OpenLot New House Enquiry Index has revealed that Queensland was the only state to record positive demand growth for new homes in the first quarter of this year, achieving an enquiry index of 233.3.
This indicates that QLD buyers make 26 per cent more enquiries than in the next-best state, South Australia (SA).
'Queensland also has the highest enquiries per buyer, aka absolute demand,' the report said.
The OpenLot New House Enquiry Index is based on the average number of enquiries made by each new house and land buyer.
Queensland's closest rival was South Australia (SA) which had an enquiry index of 185.1 but that represented a decline since the first half of last year, the report revealed.
Western Australia (WA) and SA experienced significant drops in demand, with WA down 20.8 per cent and SA down 12.4 per cent.
NSW and Victoria remained stable but showed signs of softening, with NSW nearly unchanged at -0.4 per cent and Victoria dropping by 5.4 per cent.
Overall, demand for new stock fell 1.3 per cent nationally compared to 2024 but they remained above historic levels, the report revealed.
OpenLot.com.au founder and CEO Qi Chen said the findings come from their real-time
measure of buyer interest based on average enquiries made each quarter by theirr more than
130,000 users.
'National growth has stalled, dipping by 1.3 per cent year-on-year,' Chen said.
'Still, demand remains well above historic norms and sits at the third-highest level ever
recorded.
'However, each of the states is its own market, which means the national number
obscures as much as it reveals.
'Of all the states, Queensland is the standout, with growth in enquiries per user and total
buyer enquiries leading the nation.
'That's driven by a shortage of land, so buyers have to work harder to find what they are looking for.
'We expect more land to become available in Queensland in the second half of 2025.'
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Chen added that WA and SA were both lagging significantly behind the other
states.
'Both states experienced double-digit drops in buyer interest in the first quarter
compared to 2024,' Chen said.
'Victoria and NSW are holding steady, but both states show signs of a
potential softening.
'That's a trend we will watch over the next two quarters.
'For developers, there's a clear case to accelerate project launches to meet demand in Queensland.
'In Western Australia and South Australia, buyers may need new incentives to
re-engage.'
It comes after Villawood Properties announced that construction has begun on a new affordable housing development in Brisbane southern Redland Bay area.
The $250 million Baya development will see 224 blocks made available, with a special $20,000 grant for essential workers who get on board.
Villawood Properties CEO Alan Miller said an important part of this development was giving care workers access to affordable homes at a reasonable distance.
'The whole issue is the whole of southeast Queensland is pretty unsupplied with housing options,' he said.
'Getting people into housing in locations where they work is really the most important thing.'
RELATED: New 220-home project gives essential workers $20k headstart amid housing crisis
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