CORELOGIC data reveals Torquay has experienced an annual median house price increase of 15.3 per cent over the past 12 months, and 52.6 per cent over the past five years, to see the February median house price surpass $1,000,000 to sit at $1,040,000.
Coastline Property Advisors director Trent Ludlow said this result is despite financial experts predicting an annual decrease of 12 per cent.
“Over the past 12 months, the peak number of listings (houses for sale) was in June 2020 at 296 listings where the median sale price at this time was $890,000,” Mr Ludlow said.
“The least number of listing was 237 on the 30 November 2020, the correlation saw an increase in median house price rising to $921,000.”
The recent post COVID surge in auction campaigns has helped push Torquay’s median house price past $1 million.
Some significant results in the last few months include 25 Pride Street at $4,140,000, 11 Pride Street at $2,700,000, 4 Orungal Court at $1,200,000, 5 Antares at $1,117,000, 1322 Horseshoe Bend Road at $1,080,000, 23 Central Avenue at $1,400,000 and over the weekend 18 Gogoll Crescent at $1,280,000 and 1337 Horseshoe Bend Road at $1,450,000.
These significant auction results were mostly well above their reserve price, the common factor being that they are all from the more established parts of Torquay which is seeing the most interest.
Mr Ludlow said that annually the number of listings is at minus-14 per cent, but over the past three months they are beginning to see an increase of listings which is a positive sign for those frustrated buyers, but that doesn’t mean panic buy.
“In saying this, we will see a further increase in median price for the March quarter,” he said.
“We feel around August as we lead into spring the heat will come out of the market with JobKeeper having concluded, financial institutions will be looking for their money for those who have been on pause payments for the past 12 months.
“In addition, those who relocated and are working from home/the coast may have to start commuting four days a week back to Melbourne which may take the gloss away for some sitting in traffic for four-and-a-half hours a day.
“We are suggesting to our clients considering selling now and buy later.
“Sell with a longer settlement to give you sufficient time to purchase when the heat will come out of the market.”
Mr Ludlow said the town to watch was Ocean Grove, historically the most affordable beach town.
“Ocean Grove has experienced a significant 17 per cent annual growth and 55.3 per cent over the past five years and is probable to achieve a median sale price of $1 million,” Mr Ludlow said.
In comparison to the broader coastal market in February:
- Lorne: Median house price $1.42m, 18.9 per cent annual increase, 53.5 per cent increase over the past five years
- Anglesea: Median house price $1.12m, 10.6 per cent annual increase, 52.9 per cent increase over the past five years
- Jan Juc: Median house price $1.1m, 14.7 per cent annual increase, 52.2 per cent increase over the past five years
- Barwon Heads: Median house price $1.19m, 9.3 per cent annual increase, 47.8 per cent increase over the past five years
- Ocean Grove: Median house price $930K, 17 per cent annual increase, 55.3 per cent increase over the past five years
- Queenscliff: Median house price $1.01m, 9.0 per cent annual increase, 43.6 per cent increase over the past five years
- Portarlington: Median house price $727K, 6.6 per cent annual increase, 57.5 per cent increase over the past five years.