By XAVIER SMERDON
WYNDHAM Vale homeowners are breathing a sigh of relief as their suburb was one of the only ones in Melbourne to reverse the decreasing house prices.
According to figures released by the Real Estate Institute of Victoria, the average house price in Wyndham Vale increased 6.1 per cent to $350,000 making it sixth on the list of top 10 growth suburbs for the last quarter.
Truganina and Tarneit also showed no signs of being effected by the house price slump, recording growth of 4.3 per cent to $365,000 and 2.1 per cent to $370,000 respectively.
REIV CEO Enzo Raimondo said Wyndham Vale was outperforming other more up market ones because it was still relatively affordable.
“The recent trend of reduced demand in the more expensive segments of the market has continued. The effects of the surge in population between 2005 and 2010 are still bolstering demand in the more affordable suburbs,” Mr Raimondo said.
“Across Melbourne this means that the outer suburbs have recorded an overall better result than the inner ones have.”
It comes as the median house price across the whole of Melbourne dropped by 2.8 per cent, which Mr Raimondo attributed to hesitant buyers.
“This serves as another reminder that the state of the housing market is directly linked to the health of the economy. Despite evidence that the local economy continues to outperform many of our trading partners, we are now experiencing a soft housing market,” he said.
“The 2.8 per cent reduction on the revised median house price largely reverses the small gains of the June quarter and confirms that, overall, there has been very little capital growth over the past 12 months.”
