Collapse in new home listings in Sydney and Melbourne hits real estate company profits

Domain chief Jason Pellegrino says decline is worse than during Covid lockdowns and banking royal commission

• Follow our Australia news live blog for the latest updates
• Get our morning and afternoon news emails, free app or daily news podcast

A collapse in the number of new homes on the market, especially in Sydney and Melbourne, is outpacing even the shaky listing rates recorded during pandemic lockdowns, weighing on the profits of real estate companies.

The chief executive of property portal company Domain Group, Jason Pellegrino, said on Thursday that the scale of listings declines during the last three months of 2022 also eclipsed pullbacks recorded during the banking royal commission, which scrutinised lending practices in public hearings in 2018.

Sign up for Guardian Australia’s free morning and afternoon email newsletters for your daily news roundup