Inner Melbourne prices still weakening, while regional Victoria edges higher

The Real Estate Institute of Victoria’s latest data reveals that Nillumbik’s property market is kicking goals so far in 2019 with two of the top three performers located within the municipality.

Revealing the REIV’s median data for the first quarter of 2019, REIV President Robyn Waters said the median house price in Eltham increased 7.3 per cent to $950,000 in the January-March 2019 quarter while Greensborough’s median house price soared 6.0 per cent to $808,000.

“Consistent with 2018 trends, some outer areas continue to do well with Narre Warren South sitting second on the top 10 list for median house price growth with a 7.1 per cent increase, MULGRAVE is at number four with a 4.7 per cent increase and Point Cook in fifth place, also with a 4.7 per cent increase.

"Interestingly, we are also starting to see signs of recovery in Inner Melbourne with Glen Iris and Balwyn North making the top 10 this quarter, recording increases of 4.3 per cent and 4.2 per cent respectively.”

Overall, Melbourne’s median house price fell 1.4 per cent in the first quarter of 2019 to dipbelow $800,000 at $793,000.

“The market was fairly stagnant in 2018 as vendors resolved to stay put and renovate or extendrather than take their chances on selling in an uncertain market and I think we’ll need to wait until after the Federal Election to see any major change to that climate,” Ms Waters said.

“Looking at the annual picture, the top 10 performers for median house price growth between April 2018 and March 2019 were all in Outer Melbourne demonstrating the popularity of affordable options for families who have their heart set on the ‘great Australian dream’.

In suburbs like Sunbury, Craigieburn and Wollert you can still secure a great family home for $500,000 to $600,000 which is attractive to potential owner-occupier and investors,” Ms Waters said.

There are also more new house and land packages coming online in places like Officer and Clyde North where burgeoning estates have replaced empty paddocks in a relatively short time frame. As a consequence, the necessary infrastructure and community facilities are coming on line in these areas.

Ms Waters said regional Victoria continues to outperform the Metropolitan Melbourne property market with substantial gains of almost 10 per cent recorded in some towns this quarter and a 1.0 per cent increase overall in the median house price.

“Four of the top 10 towns for median house price growth in the March quarter were in the Ballarat area: Redan topped the list with an increase of 9.8 per cent to $357,000, Ballarat East was at seventh with a 4.4 per cent increase to $355,000 just ahead of Soldiers Hill at eight with a 4.3 per cent increase to $485,000 and Brown Hill with a 3.5 per cent increase to$440,000,” Ms Waters said.

“In the 12 months to 30 March 2019, three regional towns reported growth of more than 24 percent: Wonthaggi, Redan and Wendouree which is a resounding endorsement for the propertymarket’s in these areas, given the current cooler climate.

Strong annual growth was also found in Stawell, Bendigo, Irymple, Trafalgar, Mount Clear,Wallan and Maryborough.”