Median house prices in Melton have jumped almost 10 per cent, according to latest figures from the Real Estate Institute of Victoria (REIV).
The figures show the median price in Melton rose 9.84 per cent in the December 2014 quarter to $265,000.
PRD nationwide Melton senior sales consultant Chris Williams said the increase showed confidence in the Melton property market.
“It shows there’s a lot of confidence coming back into the market at the moment,” he said. “It gives people confidence the market is moving in an upwards direction and there are a lot more buyers out there than at this time last year.”
Mr Williams said the results were most likely also linked to the recent falls in interest rates.
The latest REIV figures were released in the same week the Reserve Bank of Australia cut the interest rate by 0.25 percentage points to a historic low of 2.25 per cent.
Despite the increase in median house prices, Mr Williams said Melton was still an affordable place to buy a home. “Affordability is the driving factor in why people are considering Melton,” he said.
“There’s a big price difference just 15 minutes down the road in Caroline Springs and Hillside.
“A lot of out-of-town buyers are looking at Melton as a viable option to find an affordable home in a good community. [Melton has] a lot of amenities that families would be after, like good schools, and the recent expansion of Woodgrove shopping centre provides a lot of shopping options.
“Overall it’s a growing town.”
Melton West also experienced an increase in the December 2014 quarter, with median house prices rising by 6.9 per cent in the December quarter to $310,000.
Mr Williams predicted the market would remain stable over the next quarter.
