Sydney may have beaten Melbourne in the January 2020 quarter, but Melbourne was the leader in growth over the previous 12 months, with house prices rising 8.2% to 7.9 % in Sydney, according to the CoreLogic Home Equity Index.
The report notes that Melbourne is much closer to a full nominal recovery than Sydney; values ??should increase by only 1.2% in the former, while values ??should further increase by 5.4% in the latter.
Properties in the Melbourne top quartile market also experienced an 11.5% increase in prices, indicating that luxury buyers are booming. Nevertheless, there is growth in all areas, as the market for the bottom quartile also recorded growth of 5.6%.
The interior-east district in particular shows great positivity, as the value of dwellings increased by 16.2% during the year until January.
"With such a rapid growth rate, the value of housing in this area should hit a new record in the coming months," said Tim Lawless, research manager at CoreLogic.
Domain economist Trent Wiltshire says there are great hopes for Melbourne in the next two years.
"The median price of houses in Melbourne is expected to increase by 8% in 2020, then by 3% to 5% in 2021. This means that the median price of houses in Melbourne will reach around $ 970,000 by the end of this year and will hit the million dollar mark. by the second half of 2021. This is 10% more than the recent peak of $ 909,000 reached in December 2017, "he said in the report on estate property price forecasts for 2020-2021.
"Melbourne unit prices are expected to increase rapidly in the first half of 2020, after a solid end in 2019, before price growth slows down. We predict that the median unit price will increase by 5% in 2020 and then by around 3% in 2021. "
Population growth has long been an important foundation for Melbourne's market strength, and the capital is already considered to be Australia's largest city, according to Real Estate of Australia president Adrian Kelly. Given that the population is expected to increase further over the next decade, Melbourne is expected to continue its positive course in the near future.
While the recent COVID-19 epidemic has caused some buyers and sellers to hesitate in major cities, Simon Pressley of Propertyology believes that there will be no major impact on prosperous markets long-term.
"The impact of a virus on a housing market is like a water stain on a ceiling – we know it needs to be taken seriously, but it has no bearing on the foundations of the assets. The past global viruses have had no impact on any real estate market! Said Pressley.
SUBURB TO WATCH
TEMPLESTOWE: The Premium suburb supports growth
The Median Price of Templestowe Homes May Have Exceeded the $ 1.5 Million Mark, But the Market Continues to Grow as Values ??Rise 21.2% in the 12 Month Period ending in February 2020.
Although the unit market in this suburb recorded a technical decline, it was negligible, at only 0.1%. However, rents continue to rise, increasing 4.6% for homes and 3.8% for units, with weekly announced rents reaching $ 680 and $ 478 respectively.
Templestowe is an owner-occupied market, with only 14% of residents being tenants. Families also make up a large part of the population and are probably drawn here by the wide choice of schools in the suburbs.
Convenience: Educational options in this area make it a convenient place for families
Price: Templestowe is a luxury suburb with a median house price of $ 1.5 million
Top suburbs:
Darlington
,
kawana
,
fresh water
,
tuart hill
,
sunshine
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