Melbourne dwelling values continued to increase over 2017, with house values rising 9.1 per cent and units rising 8.4 per cent. While some inner city suburbs have experienced a decline in dwelling values, clearance rates across the city have remained well above 70 per cent in 2018 with auction and sales results staying steady in a traditionally quiet time in the market.
Suburbs in Melbourne’s east continue to experience high levels of demand and growth, owing to the relative affordability for renters, property features like street parking and proximity to schools and other attractive amenities in these areas. Below are the top growth suburbs and real estate hotspots in the east according to realestate.com.au (1 Jan – 31 Dec 2017).
Box Hill
Located 14 km east of the CBD, Box Hill has been experiencing exponential growth over the years, popular with everyone from young migrant families to students and professionals. With a major hospital facility (Epworth Eastern), large corporate office suites, a culturally diverse range of eating options, shops and marketplaces as well as plenty of schools and access to higher education at Box Hill Institute and Deakin University, Box Hill has evolved into a hive of activity.
The median sale price* for houses in Box Hill for 2017 was $1,810,000 and $480,400 for units. Median sales price for houses have increased 125.5 per cent compared to the same period five years ago, equating to a compound annual growth rate of 17.7 per cent. Unit sales price have increased 29.8 per cent over the last five years with an annual growth rate of 5.4 per cent. Meanwhile, rental yield is at 1.3 per cent for houses and 4.2 per cent for units.
Ashwood
For the past few years, Ashwood has been one of Melbourne’s best kept secrets. Nestled between the expensive suburbs of Glen Waverley/Mount Waverley on one side and Glen Iris/East Malvern on the other, it’s one of the best value suburbs considering you can get an 800 sq m block in some places for $1.4 million – unheard of in similar suburbs.
With access to good education facilities (Ashwood High, Holmesglen, Deakin University), public transport and green spaces (Gardiners Creek trail), it’s a great place for families, professionals and students. Demand and growth is rapidly rising as people catch on.
The median sale price* for houses in Ashwood for 2017 was $1,410,000 and $860,000 for units. Median sales price for houses have increased 116.9 per cent compared to the same period five years ago, equating to a compound annual growth rate of 16.7 per cent. Unit sales price have increased 36 per cent over the last five years with an annual growth rate of 6.3 per cent. Meanwhile, rental yield is at 1.8 per cent for houses and 3 per cent for units.
Balwyn
A harmonious, family-oriented suburb located in the notorious private school belt, Balwyn is ever popular for families looking for a lush, green suburb close to the city with a touch of country setting and easy access to transport, healthcare and elite public and private schools.
The median sale price* for houses in Balwyn for 2017 was $2,300,000 and $793,750 for units. Median sales price for houses have increased 78.3 per cent compared to the same period five years ago, equating to a compound annual growth rate of 12.3 per cent. Unit sales price have increased 46.3 per cent over the last five years with an annual growth rate of 7.9 per cent. Meanwhile, rental yield is at 1.5 per cent for houses and 3.9 per cent for units.
Doncaster
With nice parks, plenty of shopping options, good cafes and affordable housing, rental properties are always in high demand in Doncaster, with families and young professionals alike snatching them up. With plenty of room for growth and development, Doncaster is a great investment area.
The median sale price* for houses in Doncaster for 2017 was $1,400,000 and $489,000 for units. Median sales price for houses have increased 95.8 per cent compared to the same period five years ago, equating to a compound annual growth rate of 14.4 per cent. Unit sales price have increased 12.7 per cent over the last five years with an annual growth rate of 2.4 per cent. Meanwhile, rental yield is at 1.9 per cent for houses and 3.9 per cent for units.
If you’re living in one of the above suburbs or another thriving part of Melbourne’s east like Camberwell, Glen Iris, Ringwood, Wantirna, Mitcham or Blackburn and are wondering what your property is worth, contact the team at Noel Jones today for a free appraisal.
* Data depicts the period 1 Jan to 31 Dec 2017 and has been sourced from realestate.com.au
Image of Box Hill South by: Melburnian (commons.wikimedia.org)
