Darwin is in the grip of Australia’s most acute housing supply crisis that is not merely challenging but actively crushing the dreams of first-home buyers.
With a staggering lack of available properties, the Northern Territory capital has become a pressure cooker, igniting an unprecedented surge in prices that shows no signs of abating.
The market is so tight, it’s forcing median dwelling prices perilously close to the $600,000 mark, leaving aspiring homeowners on the sidelines.
The latest REA Group February listings report paints a stark picture, highlighting Darwin’s unenviable position at the top of Australia’s dwelling shortage list.
While new listings nationally saw a modest increase of 4.1 per cent in February, Darwin’s total listings plummeted by a staggering 37.6 per cent year-on-year.
The figure dwarfs other major centres, with Perth experiencing a 29.9 per cent decline, Hobart 23 per cent, and Brisbane 21.4 per cent.
MORE NEWS
Rate cuts loom as Aussie spending finally slows
Major Aussie cities face property price falls
Power bills to rise 24pc, costing households $500
Source: PropTrack
Furthermore, Darwin’s total new listings – properties that entered the market in February – were down 22 per cent, marking the largest monthly decline nationally.
Tight market conditions have directly translated into robust price growth.
Supplementary data from the PropTrack Home Price Index shows Darwin home prices surged by 0.5 per cent in February, contributing to an impressive 16.2 per cent annual increase.
The significant uplift saw the median dwelling price climb by $89,800 over 12 months, reaching a new peak of $598,000.
The detached housing market has been particularly buoyant.
Darwin house prices also rose by 0.5 per cent month-on-month and a substantial 16.4 per cent year-on-year in February.
Darwin is leading the nation for worst housing supply.
This has seen the median house price skyrocket by $102,700 in the past year, now sitting at $680,000.
The unit market has followed a similar trajectory, albeit with slightly less dramatic increases. Unit prices in Darwin were up 0.7 per cent in February and recorded a 15.5 per cent increase over the past year.
The median unit price has consequently risen by $61,700 year-on-year, reaching $456,000.
Eleanor Creagh, Senior Economist at REA Group, attributes Darwin’s strong annual growth to the severely constrained supply
.
Prop Track senior economist Eleanor Creagh
“Darwin’s strong annual growth reflects a market where supply remains very tight relative to historic levels,” Ms Creagh explained.
“With total listings having fallen almost 40 per cent over the past year, it’s clear stock on market is very constrained, fuelling rapid price rises as a result of competitive conditions. “After a softer cycle relative to other capitals, Darwin has been rebounding with improved demand seeing home values accelerating quickly as buyer confidence has returned. “Additionally, Darwin is a small market, so shifts in home buying demand can have an outsized impact on conditions.”
Help us improve your reading experience
Got a minute? Your feedback will help us build a better experience for you.
Help us improve this page
English (US) · 