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Home buyers waiting for a rush of new listings to hit the market in spring may be disappointed, and may have to make do with the unsold homes languishing<\/a> on Melbourne\u2019s market.<\/p>\n Home sellers are sitting on their hands, experts say, waiting for an improvement in the market that has been affected by interest rate rises and the coming state election, while buyers are now waiting for the right property to be listed before making an offer.<\/p>\n The number of homes newly listed for sale over the four weeks to August 23 was well down compared to the same time last year, down 16.3 per cent, Cotality data shows, and down 9.4 per cent compared to the five-year average.<\/p>\n<\/p>\n The most affected areas of Melbourne have been the inner east (down 21.1 per cent), inner city (down 20.9 per cent) and the southeast (minus 16.7 per cent), as owners in affluent areas hold off from listing their homes.<\/p>\n But in Melbourne\u2019s west, one of the more affordable markets, it\u2019s a different story, with listings down only 5.8 per cent.<\/p>\n Cotality head of research Gerard Burg said Melbourne was in for a \u201ccooler spring\u201d this year, with potential vendors spooked by falling home values, uncertainty around interest rates and general economic malaise.<\/p>\n<\/p>\n \u201cWhat we\u2019re starting to see in terms of new listings is a significant supply response pullback, led by some of the highest-value markets, like the inner east, southeast, and inner-city areas,\u201d he said.<\/p>\n \u201cBy contrast, out in the west, we\u2019ve seen a comparatively much smaller pullback in terms of listed stock.\u201d<\/p>\n Home buyers will be able to choose from a build-up of total listings, which include both newly listed homes and homes that have been languishing on the market for months. There are 15.9 per cent more homes for sale overall than this time last year.<\/p>\n Related Article \u201cIn terms of total listings, there are more properties available for sale, which is good news for buyers,\u201d Burg said. \u201cIt\u2019s an interesting situation where people ask if it\u2019s a buyer\u2019s market \u2013 if you are still able to buy, yes. But it\u2019s only a buyer\u2019s market because so many people have been pushed to the sidelines.\u201d<\/p>\n Barry Plant CEO Lisa Pennell said while new listings may be lacking, buyers were definitely out there.<\/p>\n \u201c[We\u2019ve been having] five per cent higher buyer numbers through our opens last weekend, week on week. My sense is that momentum is beginning to build as optimism around a change of government builds in Victoria,\u201d Pennell said.<\/p>\n She said sellers were reluctant to list before November\u2019s state election, but thought listings would pick up as spring moved along.<\/p>\n \u201cDepending on what the polls show, if we see more optimism then we will see change,\u201d she said. \u201cWe\u2019re under some fairly onerous taxes and legislation in Victoria at the moment, and there are some concerns around the economy.\u201d<\/p>\n<\/p>\n Pennell added that Melbourne was \u201cso heavily undervalued\u201d that it was not a \u201cquestion of if we\u2019ll have more buoyancy, just a question of when\u201d.<\/p>\n \u201cWe\u2019re attracting a lot more interstate attention from people who moved interstate when prices were cheaper, that might well be contemplating a move back home,\u201d she said.<\/p>\n Not all buyers and sellers are waiting though, with Gabbi Gai and John Yu choosing spring to sell and hopefully buy.<\/p>\n The couple is selling their four-bedroom home in Hoppers Crossing, and are planning to buy a new home closer to the city where they work and have friends.<\/p>\n The downturn has opened up more opportunities for them to get into a more expensive market.<\/p>\n \u201cWe feel like it\u2019s a good chance to go for some suburbs we couldn\u2019t reach before, such as Doncaster, Pascoe Vale or Essendon,\u201d Gai, 32, said.<\/p>\n Related Article Yu, 40, is a building site foreman for housing and commercial construction, while Gai teaches international students in the city, and are now planning for a future family.<\/p>\n Outer suburbs and first home buyer markets have been less affected by the downturn, even as Melbourne\u2019s median home value has fallen to be lower than five years ago<\/a>.<\/p>\n \u201cIt\u2019s currently a good opportunity to buy a house [closer to the city] because prices are down,\u201d Yu said.<\/p>\n \u201cWe\u2019re quite positive about our house selling because \u2026 Hoppers Crossing has been one of the top five areas of house price growth over the past year,\u201d Gai added.<\/p>\n Yu said they had thought about the asking price on their home, and were undertaking some renovations to get it ready for sale. \u201cI\u2019m being realistic about the price to attract first-home buyers,\u201d Yu said.<\/p>\n The couple\u2019s listing agent, Ray White Hoppers Crossing Principal Shahid Khan, said properties which were well-presented and renovated had a much higher chance of being sold, especially in a market dominated by owner-occupiers and few investors.<\/p>\n \u201cIt gives a confidence to the buyer that they don\u2019t have to do much of the work while they move immediately,\u201d he said.<\/p>\n Save<\/p>\n You have reached your maximum number of saved items.<\/p>\n![\"Melbourne](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/08\/c49b602012e2518727a1c35c09d220ac4193a452.jpeg\")
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John Yu and partner Gabbi Gai are selling their Hoppers Crossing home this spring. Jason South<\/p>\n![\"Shane](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/08\/1787963780_365_c6aad6277f18fde6e284cb017435586559b51e79.jpeg\")
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