Increased days on market in April 2026 indicates a shift toward a balanced market, driven by a nearly 40% increase in listings since December 2025 (Raine & Horne) and dampened buyer urgency following RBA rate hikes in February and March 2026 (Domain). Properties are taking longer to sell as buyer caution offsets the current surge in available stock.
The current trend is the result of high vendor confidence in late 2025 leading to a surge in listings, which has now collided with tighter borrowing conditions. Buyers who were aggressive in previous months are now exercising caution, extending the time required to find a buyer at the vendor’s expected price.
The impact of increased stock levels
Listings have risen nearly 40% since December 2025 (Raine & Horne), as homeowners who previously held back decided to list. This increase in choice for buyers naturally extends the time a property remains on the market before a sale is agreed upon.
Buyer urgency and RBA rate hikes
RBA rate hikes in February and March 2026 have introduced new caution into the market and dampened urgency (Domain). This is reflected in clearance rates, which ran between 61–66% from January to March 2026, falling below the 66–68% recorded during the equivalent period in 2025.
Seasonal influence in Autumn
April sits within the autumn window, traditionally Melbourne’s second-strongest selling season. While this period usually benefits from lower competition between vendors, the current rate environment is currently outweighing these traditional seasonal advantages.
The forecast gap
There is significant uncertainty regarding price direction for the remainder of the year. KPMG projected 6.6% house price growth for Melbourne in 2026 (pre-RBA hike), while ANZ revised its forecast to -1.7% following the March 2026 hike.
| Period/Metric | Clearance Rate | Source |
|---|---|---|
| January–March 2026 | 61–66% | Context |
| Mid-February 2026 | 74% | Domain |
| March 8 Weekend | 55% | Context |
| Balanced Market Range | 65–72% | Industry Consensus |
Frequently asked questions
Should I wait until 2027 to sell my house?
ANZ and Domain forecasts suggest Melbourne is likely to outperform in 2027 as the market recovers. Long-run structural drivers, including chronic undersupply, tight rental vacancies, and the fastest population growth in Australia, support medium-term value appreciation for those who can afford to hold.
How does Melbourne’s value compare to other capital cities?
Melbourne currently sits at a historically wide discount, with the median house price gap between Melbourne and Sydney exceeding $600,000. Melbourne’s median has recently dipped below Perth’s and sits only marginally above Adelaide’s, which is historically unusual for Australia’s second-largest city.
What factors make it viable to hold onto an investment property?
If a property is positively geared or near-neutral, rental income offsets holding costs during a market adjustment. Additionally, deferring capital gains tax preserves control over when you crystallise that tax liability, which may be strategic depending on your broader financial position.
Is the Melbourne market currently considered balanced?
Industry consensus identifies a balanced Melbourne market as one with clearance rates in the 65–72% range. With rates running between 61–66% through the first quarter of 2026, the market is currently tracking below those balanced levels, reflecting the impact of recent rate hikes.
Questions to ask your agent
- How has the buyer pool for my specific property type in the eastern suburbs changed since the March RBA hike?
- Based on current clearance rates in this corridor, what is the realistic risk of my property passing in at auction?
- What specific evidence suggests our suburb is maintaining value despite the wider Melbourne trend of increasing days on market?
This article contains general market information based on data current as at April 2026. It does not constitute financial, legal, or real estate advice specific to your property or circumstances. For an appraisal and tailored advice, speak with a Fletchers agent in your area.