By Oliver Lees
Sunbury experienced a spike in residential property prices in three months to March, according to data released by the Real Estate Institute of Victoria (REIV).
The figures released in April detail a 14.4 per cent increase in median house prices, compared with 8.8 per cent in metro Melbourne for the first three months of 2021.
Despite the median sale price for a house in Sunbury reaching a record high $652,000, the suburb is still far below the median price across metro Melbourne, which currently sits at $1.004 million.
Sunbury’s median house price is up from $590,000 from the same time last year.
One Agency Sunbury Region director Adrian Sacco said the uptick in house prices was in part driven by the demand for the relative affordability of a new home in Sunbury.
“It’s still a very affordable area, a lot of people are moving out here from inner-city suburbs for a cheaper price,” Mr Sacco said.
”There’s also been some big individual sales that have contributed significantly to the average sale price.”
Sunbury recorded two house sales in excess of $2 million, a record fee for the suburb.
Mr Sacco added that housing stock remains “tight” which has driven housing prices up, but also that lockdown has affected people’s spending habits.
“Saving for a home has been made easier for some without spending on travel or socialisation last year, so that shift in disposable income has allowed people to get into the market quicker,” he said.
“As a result it appears the average age of the home buyer is significantly decreasing.”
REIV president Leah Calnan said she expected the market to gradually settle as life returns to normal.
“Market statistics show unprecedented levels of buyer interest across Victoria,” she said.
“High demand across the state has also been fuelled by an increase in activity following Victoria’s lockdowns which saw thousands of auctions cancelled.”
But Mr Sacco said he wouldn’t be surprised to see demand for houses continue to surge later in the year.
“I expect a slight slow down in winter, but in for a cracking spring,” he said.
“A lot of people tend to think spring is the time to sell homes and after last year there will be a lot of people trying to sell homes.”