Melbourne property prices remains steady during lockdown
- Posted By Prince Lakshman
Melbourne home prices have survived the gloomy predictions and remained steady throughout the painstaking coronavirus lockdown, new research shows.
The metro only saw a slight 1.7 per cent to $846,000 median dip in house prices in the September quarter, during which the real estate market was grounded to a halt and private inspections were not allowed.
The figure skyrocketed up to 5.1 per cent to $442,500 in Regional Victoria , according to data.
Real Estate Institute of Victoria president Leah Calnan said Melbourne house prices were still 7.4 per cent higher than the same time last year, hinting that they would stay “steady and consistent” despite ongoing COVID-19 restrictions and an economic slump.
“(The data) gives homeowners reassurance that, despite everything being thrown at the property market, it remains really resilient,” Ms Calnan said.
“It also shows you shouldn’t always listen to the property experts who predict price crashes of up to 25 per cent.”
ANZ forecast a 15 per cent fall in home prices by next year due to the current COVID-19 real estate downturn. Meanwhile, multiple real estate experts predict that values may further drop to 30 per cent peak-to-through.
Glen Waverley was the city’s top quarterly performer, according to the REIV, with house prices rising 6.4 per cent to a $1.3m median.
Outer ‘burbs Frankston, Doreen, Point Cook and Wollert also had some of Melbourne’s best quarterly price growth.
Regional Victoria’s market boom was only just starting — and allowing Melburnians to travel for inspections was the key to future growth, according to Keatings Woodend agent Sandi Barry-Mueller.
CoreLogic’s recent report found Melbourne house and unit values combined fell 3.3 per cent in the September quarter.
But the REIV figures only take into account residences that have sold in the city, while CoreLogic calculated the median estimated value of all residences in greater Melbourne.