House prices hold ground across the state

July 22, 2023 BY

Swan Hill was the fastest growing regional area for home prices in the three months to June, up more than 30 per cent.

SOME price stability has continued across Victoria’s property market with a slight rises on homes across the regions and better gains in parts Melbourne over the last reporting quarter.

In regional Victoria, quarterly house prices rose 0.6 per cent statewide to $604,500 and up from $601,000, while unit medians declined 2.6 per cent, to $411,500 from $422,500.

At the foot of the Victorian Alps, Mansfield recorded the greatest quarterly increase of 9.9 per cent to $830,000 in the June quarter.

Median house price for Swan Hill rose to $472,500, bringing annual growth to 30.5 per cent, highest among regional municipalities.

Affordability improved in several of the state’s most prized coastal towns, with Ocean Grove houses down 10.6 per cent at $1.050 million and Inverloch houses down 3.8 per cent at $1 million.

In some regional towns, there units recorded significant price increases, Moe rose 16.8 per cent to $232,500 from $199,000, Horsham increased by 16.7 percent to $385,000 from $330,000, and Bairnsdale up by 14.3 per cent to $368,500 from $322,500 last quarter.

Andrew Meehan, REIV president, said stability prevails across Victoria’s property market despite macro-economic and policy pressures, with attractive selling and buying windows opening for participants in both metropolitan and regional.

“In another quarter of interest rate rises, it’s encouraging to see such stability across Victoria’s property market,” he said.

“Middle Melbourne is particularly buoyant, transaction volumes remain strong and there are affordable buying opportunities in some of our state’s beloved coastal towns.

“We expect to see this stability continue into the second half of the year.”

In Melbourne, metropolitan units climbed 3.2 per cent to $630,500 while metropolitan houses recorded a 1.1 per cent drop to $937,500.

According to the Real Estate Institute of Victoria’s quarterly median data, metropolitan units in middle Melbourne saw the highest quarterly growth, with units in the eastern suburb Mount Waverley climbing almost 25 per cent to $1.245 million.

Million-dollar units in bayside suburbs climbed higher, with Hampton units rising 20.1 percent to $1.105 million and Brighton East climbing 14.9 per cent to $1.402 million.

Despite unit prices rising in most Melbourne suburbs, metropolitan house price growth was largely recorded in middle Melbourne.

The eastern suburb of Mulgrave returned to the $1 million median club, growing from $970,000 to $1.135 million with a 17.0 percent increase.

Buyers seeking homes in sought after inner suburbs could look to pockets like Kew and Malvern, which recorded quarterly declines in median house prices of more than 9 per cent to $2.9 million and $2.775 million respectively.

In outer Melbourne, several affordable suburbs became more attractive for buyers, with Melton South houses sitting at $460,000 down 2.4 per cent, and Harkness at $570,000 down 3.4 per cent.