Melbourne median breaks $750k mark

According to the Real Estate Institute of Victoria, Melbourne’s median house price increased by 5.0 per cent to a record high of $770,000 in the three months to 31 December.

The growth was widespread across the state, with double-digit growth experienced in 43 suburbs with more than 30 sales, from Toorak and Brighton to Moonee Ponds and Macleod.

Outer suburbs also posted considerable growth, including Cranbourne in the south-east, and Hoppers Crossing and Wyndham Vale in the west.

Units and apartments also increased in price over the December quarter in Melbourne, with the median rising by 3.0 per cent to $563,500.

Regional Victoria also saw notable price growth, with prices growing by 2.0 per cent to $358,000.

Commenting on the results, REIV president Joseph Walton said: “It was a very strong closing quarter with the number of sales increasing, along with solid price results.

“Transaction numbers in the inner and middle suburbs of Melbourne were up more than 20 per cent from the September quarter.”

He added that he believes ongoing interest from investors and home buyers in the Victorian market will continue into the year.

“It is clearly an excellent time to sell, given this level of interest and buyer demand. It continues to drive price growth and high clearance rates,” he said.

[Related: Capital cities finish 2016 ‘on front foot’]