Reuters analysis estimates a 15% year-on-year fall in Australian housing turnover is cutting A$355 million–A$710 million a month in spending at businesses tied to home moves; fewer transactions, rather than price falls, drive the hit.
Higher interest rates and government measures trimming capital-gains tax breaks for existing-home sellers and tightening negative-gearing rules for landlords have weighed on demand. Sydney stylist Joanne Cauchi says her team now handles as few as three jobs a week and has stopped buying inventory. Moving-box supplier The Moving Box Company cut headcount from 13 to nine after reducing hours; its sales were down 19% year on year since June.
Turnover remained 10.5% below its five-year average, Cotality data showed. Reuters calculations put the resulting annual spending shortfall at A$2.8 billion–A$5.6 billion, based on purchases and services typically associated with an average three-bedroom detached home changing hands. University of Sydney housing economist James Graham said the method was reasonable but excluded the “wealth effect”—reduced spending when falling home values dent confidence.
