Middle Melbourne’s million-plus March median
New REIV data for the three months ended 31 March 2018 reveals that the median house price in Middle Melbourne* exceeded seven figures for the first time - $1,034,000 - an increase of 4.2 per cent from the previous quarter.
Overall, the median house price across metropolitan Melbourne rose for the eighth consecutive quarter, up 4.4 per cent to $855,000.
This represents an increase in the median Melbourne house price of 10.9 per cent over the past twelve months.
Melbourne’s metropolitan apartment median price broke the $600,000 barrier, rising 2.4 per cent to $607,000.
REIV President Richard Simpson said that despite lower auction clearance rates, the overall Melbourne market continued to build on 2017.
“The median for the March quarter last year showed a higher increase than this year, but then again, calendar 2017 turned into the best year since 2010, with overall growth of 13.2 per cent.
“Continued population growth and interest rates maintained at historically low levels mean that first time home-buyers, more seasoned purchasers and investors are taking opportunities in a market that is longer on demand than supply,” he said.
Top performing suburbs in the March quarter were dotted around the map, with the each of the top five located in a different local government region and showing the strength of the market across disparate price points. Kew topped the list, with the median price of houses rising to $2,710,000 representing an increase of a whopping 26.9 per cent over the quarter. Tarneit also made it to the Top 10 list for quarterly growth with a median of $587,000, up 10.2 per cent.
There were some fluctuating results at the more affordable end of the market. Despite strong annual growth, there were some small decreases in median prices for the quarter, enabling opportunities for market entrants. More generally, the median house price in Melbourne’s outer suburbs rose two per cent over the quarter to $678,500.
Mr Simpson said that regional Victoria’s property market offered opportunities for vendors and buyers alike.
“The median price for houses in regional Victoria showed a 1.4% increase, tipping it beyond $400,000, while the median for apartments and units slipped back to just under $300,000” he said.
* Middle Melbourne is defined as those suburbs between ten and twenty kilometres from the CBD.