The Australian housing market is under pressure — not just from rising demand, but also

from supply that’s falling short.

According to the State of the Housing System 2025 by the National Housing Supply and

Affordability Council (NHSAC), only 177,000 new homes were completed in 2024. That’s

46,000 homes below the national target of 223,000 units for the year.

This gap is significant. When supply doesn’t keep pace with demand, property prices tend to

rise — especially in key growth corridors and international buyer hotspots like Sydney,

Melbourne, and Brisbane.

What’s Causing the Shortage?

Several long-term and short-term factors are contributing to the supply lag:

● Delayed construction timelines and approvals

● Labour shortages and rising building costs

● Smaller household sizes – more homes needed for the same number of people

● Developers holding back due to past high interest rates

With expectations of falling interest rates in the next cycle, buyer confidence is likely to

return. However, the limited supply means price competition could intensify even further.

What Does This Mean for You?

For investors and international buyers — especially families purchasing property for their

children’s education — the current window is critical.

Low housing supply paired with consistent demand creates upward pressure on prices. That

makes today’s price potentially tomorrow’s bargain.

By entering the market early, you position yourself ahead of a wave of returning demand and

limited availability.What Does This Mean for You?

Work with a Team That Understands the Market

At Agathon Property, we specialise in helping overseas buyers — particularly from Indonesia

— secure premium Australian properties with strong growth fundamentals.

Whether you’re buying for your child’s future, diversifying your portfolio, or simply looking for

long-term capital appreciation, our team is ready to guide you every step of the way.

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Ready to explore the opportunity?

Talk to our team today and let’s secure your future in Australia’s strongest property markets.

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