One thing is clear, Melbourne’s house prices have certainly outperformed the forecasts of just about everyone who had an opinion back at the start of 2021!

Figures released by CoreLogic during the week showed property values are now close to record levels in almost every capital city in Australia. Here in Melbourne, the median house price rose by another 1.8 per cent (close to $22,000) in June alone, and that was despite the impact of our latest lockdown.

Our median value of a house in Melbourne is now just under $930,000, with values rising by a remarkable 11.4 per cent over the first half of the year. At this rate we could well see the average house in our city hitting $1 million before we see Santa arriving in December!

The report from Corelogic indicated that the past six months have seen the highest annual rate of growth across the broader Australian residential property market since April 2004.

As regular readers will know, we have been saying for quite some time that the strong property market is being driven by a combination of strong buyer demand and a shortage of available property for sale. This was confirmed by data from Corelogic which shows that the number of property listings available in June was more than 24 per cent below the five-year average. So it’s no wonder so many buyers in Thomastown and Lalor are feeling frustrated at the limited choices available and the high level of competition among buyers when a new listing hits the market.

As I touched on in LAST WEEK'S INTEREST RATE UPDATE, there continues to be some speculation in the market that the Reserve Bank and APRA will consider tightening lending standards over the coming months in a bid to take some heat out of a property market, but only time will tell on that front.

The key message for anyone considering selling a property in the City of Whittlesea over the next few months is that the imbalance between supply and demand is unlikely to get any tighter than it is right now.

If you’d like to have a chat about the options that the current market is offering, and how much more you could achieve by selling now rather than waiting for Spring, don’t hesitate to give us a call at Barry Plant Thomastown this week on 9466 3233.

Cheers,

Con Constantinou

Barry Plant Thomastown