Median metropolitan house prices in Melbourne have dropped to under $1 million in the quarter ending September 30, according to recent Real Estate Institute of Victoria (REIV) figures.
REIV said the dip had occurred against a backdrop of solid annual growth, and created an “attractive opportuntiy” for buyers as the market responded to shifting economic conditions and five rate rises.
The institute’s September Quarterly Median Report showed Melbourne’s prices fell 7.4 per cent during the quarter, to $993,000.
However, some suburbs experienced a climb including Williamtown ($1,650,000).
REIV said in regional Victoria, median prices for both houses and units “demonstrated greater resilience, with houses falling 2.8 per cent to $603,000 and units falling 2.3 per cent to $422,500, this quarter”.
“Annual median data reveals Victoria’s property sector has shown solid growth over the past 12-months. Regional Victorian houses and units delivered double-digit annual growth in the 12-month period, with house prices climbing 15.5 per cent. In metropolitan Melbourne, house prices rose 9.0 per cent since September 2021,” REIV said.
REIV president Andrew Meehan said the upward trend visible in the annual data suggest there was “significant long-term confidence underpinning both transaction activity and real estate prices across the state”.
“It is pleasing to see property transactions have not slowed materially, with a high volume of vendors listing their properties and plenty of undeterred buyers,” he said.
“Looking ahead, these factors, combined with the RBA’s lower-than-expected rate rise in October, are an encouraging sign of our real estate market’s long-term health.”
