The property market in Melbourne has reached record highs with new sales exceeding $4 billion, with the average price of a property now $1.25 million.
The median price of an Australian property is $1,078,000, which is up 16 per cent on last year, according to the Australian Real Estate Institute.
The average price for Melbourne’s biggest city is up 17 per cent to $2.25m.
“Melbourne’s property market is really, really hot right now,” Mr Phelan said.
“It’s got to be one of the hottest markets in Australia right now.”
The latest house prices are also up by about 10 per cent in Sydney and by about 12 per cent nationally.
“We’re seeing the impact of the energy shock in Melbourne, so it’s a great opportunity for buyers,” Mr Pelham said.
“It’s a fantastic opportunity for renters too.”
What is a house?
A home is a building used for living, which usually includes a kitchen, living room, bedrooms and bathrooms.
“The house has to be designed and built to last for at least 10 years and be built in the most sustainable way,” the ASRI said.
The Australian Property Council said it was “very confident” the prices of homes were increasing, with average house prices at $2,069,000.
“Our research shows that Australia’s population and homebuilding activity have been stable for more than two decades and this has meant house prices have been rising steadily,” the council said.
“Our survey shows that over the past two years, the median price in the capital city of Melbourne has risen by 12 per in real terms and by more than 25 per in the state.”
The council said prices for new dwellings were also up, although it noted this was the first time prices had risen by more that 30 per cent.
The council says the median cost of a new house is $3,000-$4,000 a square metre.
It said the average cost of an apartment in Melbourne is now $2 million a square meter.
The ASRI also said house prices in the CBD had risen more than 50 per cent over the last five years.”CBD houses are often significantly more expensive than the average house price in other parts of the country, as the costs of building and maintaining a home are much higher than the costs in the surrounding suburbs,” it said.
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