By NICOLE VALICEK
MELTON has recorded an insufficient number of house sales to provide a statistically reliable price median in the December quarter, according to the Real Estate Institute of Victoria.
REIV Robert Larocca said during the last two years sale volumes have been low, with the Melton suburb of Hillside the only area where house sales were recorded in the December 2012 quarter.
“The past two years have seen the lowest annual volume of sales since 1996 as consumers are preferring to save rather than spend,” Mr Larocca said.
“From a metropolitan wide perspective we did start to see that trend reverse in the December quarter.”
Mr Larocca said any recovery right now is a “fragile one” and will depend on consumer confidence continuing to improve.
According to the latest data less than 25 sales were recorded during the December 2012 quarter in Hillside at the median price of $317,000.
This was lower than the $425,500 median price recorded for the area in the September 2012 quarter.
The median price for all houses sold in the City of Melton for the December 2012 quarter was $353,000, which fell by 3.8 per cent from $367,000 in the September quarter.
According to the data obtained from the REIV this dropped by 3.3 per cent from $365,000 in the December 2011 quarter.
However, First National Real Estate Director Tim Farnan believes the property market in Melton is starting to plateau.
“We’re starting to see sales increased, however the amount of properties on the market is getting tighter, and were starting to see a number of properties that have been on the market for a reasonable time selling,” Mr Farnan said.
He said the demand for houses is improving and supply is contracting which will mean a more realistic supply and demand which should lead to stability of house prices.
“Demand is improving and the amount of confidence in people to buy for own occupation or invest has picked up.”
