REIV releases median prices for 2010

 20-Feb-2011

  The REIV has released the 2010 annual median prices, which show that last year was the strongest year for price growth for the Melbourne residential property market since 2001.

REIV CEO Enzo Raimondo said the median price of a house increased by $95,000 from $465,000 in 2009 to $560,000 in 2010 – a 20.4 per cent increase.

“The REIV 2010 medians confirm that 2010 was a very strong year for the Melbourne residential property market.

“The 20.4 per cent increase was a direct result of the economy recovering from the impact of the GFC in the early part of 2009 and the growing gap between housing construction and the growth of our population.

“Towards the end of 2010 population growth slowed and the level of housing construction increased however there is a current shortage which was created between 2005 and 2010. The key to improving affordability of housing in Melbourne is to increase the number of new homes right across the city.

“Affordability constraints resulted in suburbs priced around the median having the highest demand and recording the larger price increases. The top three suburbs for capital growth were Altona, which recorded a median of $656,000 and an increase of 34.7 per cent; followed by Keilor East, where the median increased by 31.6 per cent to $620,000; and Heidelberg Heights, where it increased by 30.3 per cent to $600,000.

“There is a lot of demand for homes priced between $400,000 and $600,000.

 “Trends over the past five years show the western suburbs increasing in popularity with Braybrook, Maidstone, Footscray West and Altona all in the top 10 growth suburbs.

“Solid growth was also recorded in regional Victoria, where the median house price increased by 10.1 per cent from $277,000 in 2009 to $305,000 in 2010,” Mr Raimondo concluded.

The annual medians provide a different snapshot of the market to the quarterly median prices, as they compare all the sales in 2010 with those in 2009. The quarterly median prices compare sales in a three-month period so are more likely to pick up variations over a year.

Top 20 Growth Suburbs (1 Year)        

Note: Only suburbs where a minimum of 50 sales recorded in the calendar year are included.        

  Suburb 2010 Median 2009 Median 1 Year Change

1 Altona $656,000 $487,000 34.7%

2 Keilor East $620,000 $471,000 31.6%

3 Heidelberg Heights $600,000 $460,500 30.3%

4 South Yarra $1,500,000 $1,160,000 29.3%

5 Heidelberg West $480,000 $373,000 28.7%

6 Ashburton $995,500 $778,000 28.0%

7 Oak Park $649,500 $508,000 27.9%

8 Elsternwick $1,257,500 $985,000 27.7%

9 Caulfield North $1,410,000 $1,106,000 27.5%

10 Springvale South $475,000 $373,500 27.2%

11 Hadfield $545,000 $429,250 27.0%

12 Dandenong $435,000 $343,000 26.8%

13 Lysterfield $680,000 $537,000 26.6%

14 Airport West $587,000 $465,500 26.1%

15 Albert Park $1,300,000 $1,031,000 26.1%

16 Avondale Heights $580,000 $460,000 26.1%

17 Blackburn $882,500 $700,000 26.1%

18 Fitzroy North $947,500 $752,000 26.0%

19 Box Hill South $796,000 $632,500 25.8%

20 Nunawading $645,000 $513,000 25.7%