Owner occupiers to drive Victorian apartment sales momentum

While Victorian building approvals slowed during the pandemic, they are already starting to improve, according to m3property Victorian managing director, Luana Kenny. Ms Kenny expects the inner city apartment market will struggle at least until international students return and borders reopen. But also that most parts of Melbourne and regional Victorian towns are poised for further price growth, she told the Australian Property Institute and REIV State of the Market seminar. “The owner occupier market remains incredibly robust as demand outstrips supply but as workers return to the CBD and hospitality opens up, we’ll see a rise in tenants seeking properties in the city. “It is likely major apartment developments will remain on hold until we see how the economy recovers but as Australia is viewed as a safe place, it is expected foreign students will return which will bring life back into the CBD and city fringe precincts,’ she forecast. Demand for units in Melbourne’s inner and middle ring suburbs has been good as a result of a strong owner occupier market, she said.