It had a precarious period in 2019, but Melbourne would not stay long as it closed the year as the market for the strongest capital in Australia according to the value index. CoreLogic home for November 2019.
He defeated Sydney for the second consecutive quarter, as house prices rose 6.4% from 6.2% in Sydney in the three months before November, and are expected to rise to current trends. a new high in early 2020 after a plateau in May 2019. This rise in property prices should be supported by the activity of lifestyle buyers and baby boomers who want to retire.
“The Melbourne real estate market is slowly regaining confidence and the underlying fundamental growth drivers remain solid. Auction liquidation rates are increasing and buyers are back on the market, ”said Kate Forbes, National Director at Metropole Property Strategists.
"Overall, property values ??will be supported by a robust economy, job growth, Australia's fastest growing population and the influx of A large part of all migrants abroad. "
These crucial factors continue to serve as a solid foundation in Melbourne and may have dampened the market during the recession. Thus, the city is expected to outperform Sydney until 2020, even if the growth rate is not as intense as it is today.
"Melbourne is one of the 10 fastest growing large cities in the developed world, with a population likely to increase by around 10% over the next four years," said Forbes.
"Melbourne currently offers investors the opportunity to buy superior countercyclical properties in a buyer's market, with little further downside and the prospect of a market upturn. . "
Many buyers are taking the opportunity to buy from the high-end market in Melbourne while the growth potential remains solid.
"In Melbourne, the values ??for the top quartile increased 8.1% in the same three-month period compared to a 4.2% increase in the bottom quartile," said Tim Lawless, manager of research at CoreLogic.
“Thus, although the value of housing increases in each of the valuation cohorts, the recovery trend is more concentrated in the high-end sector of the market. This is most evident in Sydney and Melbourne, where the top quartile of the market exceeds the broad "middle" of the market and the bottom quartile. »
SUBURB TO WATCH
FLEMINGTON: Unit prices remain low
The suburb of Flemington is well known for hosting the Flemington Racecourse, where the Melbourne Cup horse race has been held since 1861. In fact, Racecourse Road is the main shopping center in this suburb. shops, cafes and a train station.
Flemington's attractiveness to buyers can be seen in the consistency with which its prices have risen – the real estate market has crossed the million dollar mark while values ??have increased by 8.5%. during the 12-month period ending in November 2019. At the same time, unit prices increased by 14.6% over the same period; however, the median unit value remains entirely reasonable at less than $ 450,000.
Tourism: The suburbs are home to the popular Flemington Racecourse, which hosts the Melbourne Cup
Amenities: Racecourse Road is a busy hub with shops, cafes and a train station
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