Property Market Information: Value of regional Victorian property increases

By the resi financial blog team, 22 July 2014

Regional Victorian property values rise 2014

Regional Victorian property has seen property values increase over the last three months, which could present a wonderful opportunity for potential property investors to move into non-capital city markets ahead of the expected population boom heading towards the nation. Data released by the Real Estate Institute of Victoria (REIV) highlighted the increasing strength of the market, which rose by 0.8 per cent over the three months to June 30.

REIV Chief Executive Officer Enzo Raimondo said the median house price across regional Victoria was now resting at $327,000. While the growth was slower than the quarter beforehand - where values increased by an impressive 1.3 per cent - these figures brought the annual growth of the region's property values to 4.1 per cent. 

"In key regional centres there were price increases in the June quarter, to cap off a solid year for our major regional cities. For example, the Colac-Otway region showed June quarter growth of 8.3 per cent and 17.2 per cent annual change, although there were fewer than 30 sales recorded during those 12 months," said Mr Raimondo in a July 18 statement. 

"Although the median price fell in some centres in the June quarter, in some of these this followed substantial growth, so the 12 monthly figure still showed healthy growth."

An example of this is Ararat, where the median fell 1.8 per cent, but the annual change grew more than 20 per cent. 

He went on to state that factors such as transportation infrastructure, employment opportunities and the closeness of amenities to the area all had a major bearing on the growth of property values. This could help potential investors or first home buyers make insightful decisions about their property movements, which will help people make satisfactory choices. 

Categories: Home Loans, Personal Finance