Australia’s housing market is showing clearer signs of cooling, with homes taking longer to sell as higher interest rates, weaker buyer confidence and recent changes to investor tax settings reshape the market.

New data reported by The Australian shows that properties in several parts of southeast Queensland are now taking 25 to 33 per cent longer to sell than before the federal Budget. Moreton Bay, Logan, Brisbane East and Toowoomba are among the areas experiencing some of the biggest increases in selling times. Nationally, properties are taking an average of four additional days to sell.

The slowdown is also visible in lending activity. Australian Bureau of Statistics data for the June quarter shows that total new housing loan commitments fell 5.4 per cent, while investor loan commitments dropped 8.6 per cent. First-home buyer loan commitments also declined, falling 2.9 per cent.

The changes come after three consecutive interest-rate increases and federal Budget measures affecting property investors. The combination has encouraged some investors to reconsider purchases, particularly established homes. Lending for established properties among investors fell 14.8 per cent in the June quarter, while lending for new builds increased 4.4 per cent.

At the same time, the number of properties available for sale has increased. Brisbane, Adelaide and Melbourne have recorded annual increases in listings of more than 30 per cent, giving buyers more choice and reducing the urgency that characterised some parts of the market previously.

However, a longer selling period does not necessarily mean that property values have fallen by the same amount. In some markets, sellers are simply waiting longer for buyers who are prepared to meet their expectations.

The upcoming spring selling season is expected to provide a clearer indication of whether the current slowdown is temporary or represents a broader shift in Australia’s housing market. For buyers, increased choice could create more negotiating power, while sellers may need to adjust expectations around timing and price.