The median price for a property in Melbourne has climbed $30,000 in the three months to September, to sit at $480,000.
According to the Real Estate Institute of Victoria’s (REIV) September Quarter Property Update, The median price of a house in Melbourne soared 6.7 per cent during the last quarter.
REIV chief executive officer Enzo Raimondo said that improved confidence in the Victorian economy combined with ongoing population increases had resulted in the new record quarterly median price.
“The recovery in the property market is widespread with record demand in the cities most prestigious suburbs as well as its most affordable ones,” Mr Raimondo said.
“Individual monthly results also show ongoing and sustained increases over the quarter which indicates demand will continue to push prices up through October, November and December.
“The improved confidence in the economy has revealed the underlying issue; a lack of supply, both for purchasers and renters. Unless there is a sustained increase in supply the REIV expects further pressure on prices.”
According to the property update, the Sydney suburb Surrey Hills recorded the largest increase, surging 24.6 per cent from $905,000 to $1,127,500.
Pascoe Vale also recorded very strong increase in demand, its median rose by 23.7 per cent from $485,000 to $600,000 over the quarter.
Strong demand for traditional detached homes in similar middle ring suburbs such as Thornbury, Highett, Doncaster East, Nunawading and Bentleigh East was also recorded.