Melbourne median house prices soars to new record - hitting over 600K

Melbourne median house prices soared 6.9% to $601,500 in the December quarter triggered by continuing strong demand for housing according to REIV.  This also marks a significant milestone - the first time that house price broke through the $600,000 barrier.

REIV CEO Enzo Raimondo said the ongoing imbalance between housing supply and demand has pushed prices up in the last quarter and over the last two years even as weekly auction clearance fell recently.

“With a full analysis of the sales results from last year’s spring selling season, it is clear that the prices buyers are willing to pay has increased substantially compared to the winter months,” he said.

Million dollar suburbs such as Canterbury, Hawthorn and Kew recorded the largest increase in their median house price over the quarter and strong increases were also found in the more affordable suburbs of Seaford, Langwarrin, Epping, Cranbourne and Tarneit according to REIV.

House prices in regional Victoria climbed by almost the same amount as the metropolitan area, with a 6.3% increase to $320,000. The City of Ballarat had the largest increase, with house prices surging by almost 8% to $276,750.