Adelaide recorded 45% more homes for sale in October than a year earlier, the largest stock increase of any Australian capital, according to REA Group's October 2026 Market Snapshot reported by realestate.com.au on 12 November 2026. Perth followed with 42% more listings and Brisbane with roughly 40%, while national new listings fell 13% year-on-year as Sydney and Melbourne tightened supply. The divergence has handed buyers measurable negotiating room in three cities just as the RBA's fifth 2026 rate rise pushed the cash rate to 4.85%.
Adelaide and Perth Build Stock While Sydney and Melbourne Tighten
New listings in October were 17% higher in Perth, 12% higher in Adelaide and 8% higher in Darwin compared to the same month last year, even as the national new-listing count dropped 13%. realestate.com.au senior economist Angus Moore said the increase in total stock had been "particularly large in Brisbane, Adelaide and Perth," driven by a combination of longer selling times and a stronger flow of fresh listings than a year ago. The overall number of homes for sale nationally is 9% higher than twelve months ago and sits at its highest level since late 2024, according to the same Market Snapshot data.
For broader market context, see World Property Forum international property intelligence.
The supply build has coincided with a sharp pullback in investor activity. Australian Bureau of Statistics lending data cited in the same report shows investor loans fell more than 30% in the September quarter, with the drop reaching 35% in South Australia, 37% in Queensland and 40% in Western Australia compared to the June quarter. ABS head of finance statistics Dr Mish Tan said lending activity fell across all borrower types but was sharpest for investors, noting that "investor activity is being influenced by factors beyond increasing borrowing costs, including the potential impacts of tax changes and expectations of lower house prices." First-home buyer loans were also down 15% on the previous quarter, meaning the investor exit has not yet been absorbed by new entrants.
Nedlands and Mandurah Expose WA's Two-Speed Market
Perth's citywide prices have fallen 5.7% from the peak reached in March 2026, per REA Group's Home Price Report, yet REAStats suburb data from April 2026 shows Nedlands recording 15% annual growth to a $2.2 million median, with homes clearing in just 15 days and a 65.5% auction clearance rate. Mandurah, at the more affordable end of the WA market, posted 10.5% annual growth to a $550,000 median with a 24-day selling cycle and a 56% clearance rate — evidence that the under-$1 million stock buyer's agent Peter Gavalas described as an influx into the Perth market is still moving relatively quickly even as the broader city correction continues.
South Perth tells a similar story, with 13.8% annual growth, a 17-day selling cycle and a 63.5% clearance rate recorded in the same REAStats dataset. Gavalas told realestate.com.au that while first-home buyers were "out there and looking but not as aggressive," upgrading buyers were "very active," taking advantage of softer conditions to move from cheaper suburbs into pricier ones. That pattern lines up with the suburb-level clearance data: premium WA pockets are holding firm on speed and price even as the citywide average slides, a split agents pricing campaigns in the current market cannot ignore.
Sydney and Melbourne's Tighter Supply Masks a Widening Regional Gap
New listings fell 28% year-on-year in Sydney and 26% in Melbourne over the second half of 2026, reversing last year's decade-high listing surge, Moore said. Sydney values have fallen 6.6% over the past year and Melbourne values are down 6.1%, with Moore attributing the slowdown to "borrowing capacity and buyer demand" pulling back "under the weight of five interest rate rises, as well as changes in the federal budget to housing taxes." National auction clearance figures from REAStats put Sydney at 70.8%, Melbourne at 68.8% and Brisbane at 67.2% as of mid-October — figures that look healthy in aggregate but conceal sharp internal splits.
That split is visible inside New South Wales itself. Randwick, in Sydney's inner east, carries a 23-day selling cycle and a 73.5% clearance rate, while Port Macquarie on the NSW mid-north coast sits at 48 days on market and a 46% clearance rate. The 25-day, near-30-point gap between a well-located metro suburb and a regional coastal market shows that the national buyer-advantage story Moore describes plays out very differently depending on location, even within a single state.
Adelaide's total property stock is 45% larger than a year ago while Sydney's new listings fell 28% over the same period — a divergence that is reshaping where buyer negotiating power actually exists heading into summer 2026.
What the Investor Pullback Means for Agent Strategy
With investor loans down 30-40% across South Australia, Queensland and Western Australia, agents in those states are managing a buyer pool skewed more heavily toward owner-occupiers and upgraders than at any point in the past two years. Gavalas noted that early in 2026, first-home buyers were "buying anything that popped up in their budget and paying overs for it"; by October, falling prices and fear of negative equity had made many of them more cautious despite the wider choice on offer.
Further Reading for Buyers Weighing the Opportunity
Buyers moving into a market with more stock and longer selling cycles have more time to complete due diligence than they did twelve months ago. Those eligible for assistance should review the First Home Buyer Schemes in Australia guide before committing to a purchase, while anyone signing a private treaty contract should understand their rights under the state-by-state cooling-off period rules. With more homes to inspect before settlement, the property inspection tools checklist is a practical starting point for buyers no longer forced to waive conditions to compete.
Moore said the outlook for prices hinges on the Reserve Bank, noting that "with the recent rate rise and the possibility of a further hike early next year conditions are likely to remain soft, with home prices continuing to fall, over the coming months." Gavalas, for his part, described current conditions as "a fantastic buying opportunity" for first-home buyers "over the long term," even as many continue to hold back amid fears of further price falls and negative equity.
