Locally, property values rose 2.87 per cent over the past year, bringing the median home price to $462,000. While not as sharp as in the capitals, the growth points to a steady interest in the local market.
The broader North West of Victoria recorded the strongest growth across regional parts of the state, with prices rising 4.25 per cent over the year, although homes there remain more affordable on average, with a median value of $373,000.
Both Bendigo and Ballarat recorded similar growth, with prices up just over 3 per cent, while Melbourne’s outer north-west grew at a slower pace of 2.67 per cent but with higher property prices topping $735,000.
Nationally, prices rose 0.4 per cent last month and are now 4.6 per cent higher than a year ago. Every capital city saw an increase, with Adelaide leading the way.
Adelaide reported the biggest monthly jump, with prices climbing 0.6 per cent. Over the past year, home values there have increased by 9.8 per cent, more than any other capital city.
Sydney and Hobart followed close behind with 0.5 per cent rises, while Brisbane and Perth recorded annual growth of 8.3 and 7.8 per cent respectively. Brisbane’s median house price has now tipped over the $1 million mark.
Melbourne’s growth was on the slower side, with a 0.3 per cent rise in June. Prices there are still making their way back, sitting 1.1 per cent below their earlier peak.
What’s driving the steady rise?
PropTrack senior economist Eleanor Creagh points to lower interest rates and improved buyer confidence as key factors for the recent market push.
"Market momentum is building amid renewed buyer confidence and improved sentiment," she said.
“Capital city markets are leading the upturn,” Ms Creagh said, highlighting the price increase seen in Adelaide, Brisbane and Perth earlier in the year.
Looking ahead, Ms Creagh expects housing demand to stay strong.
"Further interest rate cuts expected later this year will ease borrowing costs,” she said.
Combine that with ongoing population growth and a limited supply of new, affordable homes, and prices are likely to keep rising.
Ms Creagh, however, pointed out that the rise in prices remains steady rather than rapid, noting that buyers are still priced out, which will likely prevent prices from rising too quickly.
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