December Quarter Update

2020 was a year in which we witnessed an array of challenges on a global scale, with many industries suffering greatly at the hands of the COVID-19 pandemic. And with a stringent set of restrictions placed on Melbourne’s Real Estate industry for much of the year, it was uncertain how things would unfold for the final quarter, once we moved from ‘stay home’ to ‘stay safe’ rules.

It was expected that there would be a reasonable number of buyers finding their way back into the market once the restrictions eased, but few would have predicted the flurry that occurred, resulting in the highest quarterly median increase since the year 2000; a huge result in what’s been a tumultuous year.

The December quarter delivered a significant rise of 9.5% for houses in the Melbourne metropolitan zone taking the median to $941,000; this contributes to an annual increase of 8.4%. This is a substantial result when compared to the 1.2% decrease we saw in 2019 and 2018’s marginal increase of 1.4%.

Units/apartments delivered a year-on-year boost of 3.8% taking the median to $639,500. Pleasing also, is that each of Noel Jones’ base suburbs recorded positive growth, with Balwyn and Mitcham recording staggering upturns of 19.8%, and Blackburn hot on their heels with a 16.1% surge. These 3 suburbs appeared in the Top 20 list for median house price percentage increase in Q4, as did Croydon who represented Noel Jones well in the outer East, with a rise of 11.6%. Doncaster proudly topped the unit market with a median increase of 38.1% in the December quarter.

David Fileccia, Director at Noel Jones Balwyn says the market has been busy, with things moving at a rate, and force, that was stronger than anticipated. He said they had seen strong land sales, which is always a good litmus test for how their area is tracking. Family homes and turn-key units have also been hotly contested, with undersupply pushing buyers to make fast decisions and at times, advance their plans.

Industry experts agree. Frank Valentic, director of Advantage Property Consulting described the current state as a ‘family pandemic’; too many families and not enough family homes hitting the market. He said fear of missing out was creeping in, leading buyers to act quickly.

Paul Leydin, partner at Noel Jones Blackburn agreed that buyer confidence is strong, citing huge numbers at open for inspections, and properties in the 900K-1.1M bracket doing exceptionally well. “As always, there is strong demand for single-level properties in the area, especially ones with no owners corporation fees”. He also observed vendor enquiry had grown substantially, showing a confidence that should translate to higher listing numbers, easing some of the recent supply issues.

Paul and David both agree that so far, 2021 has continued to deliver results comparable to those that closed out 2020, and nothing suggests this won’t continue. Realestate.com.au chief economist Nerida Conisbee was quoted as saying the year ahead looks rosy for most Melbourne home sellers, thanks to a combination of factors including low interest rates, buyer incentives and Australia’s economy continuing to reopen.

Our Noel Jones agents would love to help you realise your property goals, so contact us if we can be of assistance.

Share:

More Posts

November CSP Grant Winner Announced

Congratulations to Surrey Park Football Club, the November Noel Jones Community Support Program grant recipient. Surrey Park Football Club was founded in 1995, when the Surrey Hills and East Camberwell Football Clubs came together as one. Prior to coming together both Surrey Hills and East Camberwell had proud and rich histories with origins stretching way back to 1887 when the

Market Update October 2023

October saw strong sentiment exhibited by both buyers and sellers keen to achieve their property goals prior to the end of 2023. PropTrack Economist Anne Flaherty believes that many who held off their plans to sell are now listing their properties in light of greater buyer demand. She suggests buyers are now more confident to purchase property again after a

The benefits and drawbacks of investing in property

If you are considering property investment, it is important to weigh both the potential benefits and drawbacks so that you can decide if it is the right choice for you. The experts at Noel Jones have compiled an in depth list below exploring both sides to help you on your investment journey. The benefits of property investment No specialist skills

27 things to do and see in Melbourne’s east this summer

The eastern suburbs of Melbourne is packed full of things to do and see. Here’s our top 27 picks of things to do this summer. Let the kids burn off some steam at Flip Out, Box Hill Take in a show at Karralyka, Ringwood Take in the view and get lost in a maze at SkyHigh, Mt Dandenong Get back to

Send Us A Message

Good Job!

Thanks for taking the time to let me know about your needs.

I look forward to helping you find your new home.​

Buyer Requirements

Thank you!

I’ll be in touch soon with information on the suburb you’re buying in.

Find Out More