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You’ve likely heard that Australia’s property market ‘springs’ to life as the weather warms and flowers bloom, ushering in the renowned “spring selling season.” It’s often celebrated as an ideal time for buyers and sellers, but is this really the magical window it’s made out to be?
The Appeal of the Spring Selling Season
Spring has long been regarded as the prime season for real estate in Australia. The combination of warmer weather and longer daylight hours energises both sellers and buyers to engage in the market. Over the past decade, property listings have typically increased by around 15% during spring compared to winter.
But why is spring so favourable for selling property?
The typical arguments you will hear are somewhat subjective, but the data doesn’t lie, with CoreLogic revealing that during the Spring period, listing volumes have increased on average by 18.2%, and sales average an 8.3% increase over the past 10 years. Let’s look at the common reasons:
1. Increased Buyer Activity
Historical data shows that buyer interest rises by up to 20% in some regions during Spring, and the increased buyer activity often leads to faster sales and more competitive offers.
Angus Ferguson, a senior figure at Domain, told Mark Bouris that Domain’s early data for the 2024 season revealed a significant increase in the number of listings and “digital authorities” being signed, and that the ‘selling season’ began a lot earlier this year.
“Digital authorities” is one of Domain’s leading products according to Ferguson, who told Bouris, “it’s when the vendor and the agent sign that contract in the living room and that’s our best leading indicator of what listing volumes are going to be like in the next month to two months.”
“As an example,July 2023 versus July of 2024, we’re up 18% in terms of the number of authorities that were signed,” Ferguson said, which would suggest an 18% increase in listings, consistent with CoreLogic’s average.
“What we’re seeing in the subsequent months is August was up about 13% in terms of the number of authorities signed, which is telling us that Spring is not just this little spike.”
2. Homes ‘Look Their Best’
We told you the arguments behind the ‘Spring selling season’ are somewhat subjective, but time and again you will hear agents say that Spring is the season when properties shine. The weather is better, the sun is out for longer, temperatures are warmer and agents know this and know how to leverage it. Research shows that homes sell approximately 10 days faster in spring than in other seasons over the past decade.
3. Year-End Motivation
Many buyers are motivated to close deals before the summer holidays or the end of the calendar year. This creates a sense of urgency, with both sellers and buyers keen to finalise transactions before the year’s end.
Debunking the Myth
While spring is often seen as the best time to sell, several myths can mislead both buyers and sellers. Here are some common misconceptions:
Myth 1: Spring Guarantees Higher Prices
It’s a common belief that spring guarantees higher prices, but the data doesn’t always support this. While buyer activity increases, it doesn’t always translate into higher sale prices. In fact, heightened competition can lead to more negotiable offers, requiring strategic pricing and marketing from sellers to achieve their goals.
Myth 2: The Sales Process is Easier
More buyers in the market doesn’t mean selling is easier. Increased competition among sellers means properties must stand out in terms of presentation, pricing, and marketing. Spring often sees a rise in negotiable negotiations, meaning sellers need to be savvy to close deals effectively.
Myth 3: Spring is the Perfect Time for Everyone
There’s no universal “perfect” time to sell. Personal circumstances, financial goals, and local market trends are just as important. For example, some regional markets may experience stronger demand at different times due to agricultural cycles or local tourism patterns. Whether you’re buying or selling, your market is your market, and there are countless factors to consider beyond the headline figures you see reported.
The notion of a Spring selling season is not a myth; it’s backed by years of data showing increased buyer activity and higher listing volumes. However, it’s essential to remember this doesn’t translate to a guaranteed increase in purchase prices.
Whether you’re looking to buy or sell, personal circumstances and local market conditions need to be weighed up with your goals and financial situation to make the best decision for you.
