REIV’s September Quarter Property Update has shown a quarterly increase of 6.7 percent price rise since the June quarter with a new record quarterly median price of a house in Melbourne reaching $480,000.
Strong growth in the recovery of the property market is widespread due to, improved confidence in the Victorian economy, ongoing population increases and record demand in the city's most prestigious suburbs as well as its most affordable ones according to REIV CEO, Enzo Raimondo.
“Individual monthly results also show ongoing and sustained increases over the quarter which indicates demand will continue to push prices up through October, November and December.
“The improved confidence in the economy has revealed the underlying issue; a lack of supply, both for purchasers and renters. Unless there is a sustained increase in supply the REIV expects further pressure on prices.
“The market has clearly recovered from very challenging times over the last 12 months however the challenge of ensuring adequate supply of homes for owner occupiers and renters will dominate the market in the next 12 months,” Mr Raimondo said.