Illawarra Weekly Market Wrap: Clearance Holds, Tight Supply & Buyer Pressure
- Joel Hynes
- Oct 13
- 3 min read
As we roll deeper into Spring, the Illawarra property market continues to navigate a landscape of tight supply, steady demand, and cautious buyer sentiment. While local weekly data remains fragmented, broader metrics and suburb-based proxies provide a meaningful snapshot of what's driving value—and what buyers need to know to stay ahead.
Key Stats: What the Numbers Tell Us
These medians, while not "weekly," anchor expectations. They suggest that even in a tighter environment, premium stock remains strong. The higher days-on-market in Kiama also highlight the stretch in buyer decision cycles in coastal, lifestyle segments.
Meanwhile, supply is a persistent headwind. Commentary and market reports indicate a contraction in new listings year-over-year across the Illawarra, tightening choice for buyers.
In one striking weekend, Illawarra recorded a 93.8% clearance across 32 auctioned properties — a high-water mark that speaks to the competition for well-positioned listings when they do hit the market.
What This Means for Buyers
1. Be ready and move decisively. When the right property lands, hesitation may cost you. Given the limited supply and typically strong interest in cleaner, renovated, or well-located homes, buyers with pre-approved financing and a clear shortlist will always be at an advantage.
2. Negotiate smartly — price just enough to engage. Properties priced aggressively might be rewarded, but those slightly off-mark will linger. Shellharbour's average vendor discount (~4.4%) offers a ballpark for negotiation in that market. Understand comparable sales, listing aging, and presentation gaps, and use those facts in your offer narrative.
3. Read the sub-markets carefully. Wollongong remains the liquidity hub where units and mid-tier houses still transact briskly. Shellharbour houses show strength, but units there may need stronger justification. In Kiama, lifestyle buyers and elevated price upticks demand greater diligence — view thoroughly, call in inspections, and demand transparency on strata and coastal exposure.
4. Use timing to your advantage. Spring is your window. As more vendors launch listings, you'll likely see more choice — but also more competition. Target early listings in the week (when inventory is freshest), and avoid letting days drag you into price creep.
4–6 Week Outlook for the Illawarra
Supply will increase, especially in late September to October, as vendors test the market ahead of summer.
If buyer confidence holds (or improves), clearance rates may drift slightly upward toward or above current levels.
Dom (Days on Market) may stretch marginally on the coastal or luxury fronts (e.g., Kiama) if the influx of supply outpaces buyer absorption.
The negotiation room may widen for secondary or less-well-positioned stock — especially units or older homes in mid-tier suburbs.
Medians should remain resilient overall, with modest appreciation in sought-after corridors and more volatility in fringe areas.
📚 Sources
realestate.com.au – Wollongong auction & region results Real Estate
realestate.com.au – NSW auction & clearance rates Real Estate
SQM Research – Wollongong weekly asking price indexes sqmresearch.com.au
YourInvestmentProperty / YIP – Kiama median & days on market Yourinvestmentpropertymag.com.au
PropertyValue / local data – Shellharbour median, vendor discounting, DOM propertyvalue.com.au
YourInvestmentPropertyMag – Wollongong median, days on market Yourinvestmentpropertymag.com.au
Illawarra Mercury – high clearance weekend Illawarra illawarramercury.com.au
PropertyUpdate – national auction roundup Property Update
RegionIllawarra – commentary on Illawarra market conditions Region Illawarra
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