Melbourne Median Prices Stable
"The real estate market moves in cycles and, after the initial price falls in 2011, it is now in a period of stability marked by low activity.
"The median price has fallen 5.3 per cent over the past 12 months but, as the overall median has not changed in the past six months, this indicates that the market has plateaued and is likely to remain like this until confidence improves.
The REIV June quarter median prices are also available on the VIEW app.
"The median price of a house in metropolitan Melbourne increased by 2.9 per cent to $535,000 from a revised March median of $520,000; and the median price of a unit increased by 2.3 per cent to $450,000 from a revised March median of $440,000.
"Demand in both Balwyn and Malvern East has strongly improved and values are now almost at the peak recorded in 2010. However, many suburbs still remain below their previous peaks.
"Healthy demand was also recorded in Langwarrin, Cheltenham, Newport, Pakenham and Reservoir. Of those, only Pakenham's values are the closest to an all time high.
"Houses sold through private sale have recorded an increased median of 2.1 per cent, whilst those sold at auction have seen a two per cent drop. This reflects the low clearance rate of 60 per cent in the quarter.
"The rental vacancy rate was two per cent in the quarter, which was a reduction on the 2.2 per cent recorded in the March quarter and showed improvement in the availability of rental homes compared to a year ago, when the vacancy rate was 1.8 per cent," Mr Raimondo concluded.
For more property information and advice, visit www.prestigegrp.com.au or contact a Prestige Consultant on 1300 732 595.
Source: REIV June Quarter Research Bulletin