Regional Victorian house prices flat in June quarter, but Murrindindi among growth spots
Median house prices in the key Victorian regional centres of Geelong, Bendigo and Ballarat were flat in the June quarter in comparison to Melbourne which experienced a 2.4% increase in its house median prices, according to the latest REIV report.
The REIV recorded a 0.8% decline in the median regional Victorian house price to $306,000 compared with $308,500 in the March quarter.
Over the past 12 months, regional house prices have gone nowhere - down a marginal 0.6% - with the vacancy rate increasing slightly from 3.3% in March to 3.7% in June.Consistent with this the median rent for a house in regional Victoria reduced from $300 per week to $295.
The top performing regional municipality was Murrindindi in the north-east of the state, which includes the towns of Alexandra, Eildon, Kinglake and Yea, and where house prices rose 16.5% over the quarter to a median of $430,000 - they are up nearly 24% over the past 12 months.
Another strong performer was Moyne (which includes the regional town of Warrnambool), with a near 12% gain in its median house price over the June quarter to $327,000. However, prices in Moyne are still down 3.8% for the year.
There were also relatively strong regional gains in Baw Baw (5% for the quarter, 6.8% for the year), on the Surf Coast Shire (Torquay) with house prices up 4.27% over the quarter to a median of $610,000.
However, there were 7% declines in Hepburn, which includes the spa town of Daylesford ($337,000) and the Victorian Pyrenees wine region, which includes the town of Avoca, with the median house price falling $200,000 - suggesting challenges for tourism- dependent markets.
Regional Victoria by municipality (best to worst over June quarter)
| Area | Jun-13 Median | Mar-13 Median | Jun-12 Median | Quarterly Change | Annual Change |
| MURRINDINDI | $430,000 | $369,000 | $347,500 | 16.53% | 23.70% |
| MOYNE | $327,000 | $292,500 | $340,000 | 11.79% | -3.80% |
| BAW BAW | $315,000 | $300,000 | $295,000 | 5.00% | 6.80% |
| SURF COAST SHIRE | $610,000 | $585,000 | $586,500 | 4.27% | 4.00% |
| CAMPASPE | $270,000 | $260,000 | $263,000 | 3.85% | 2.70% |
| CENTRAL GOLDFIELDS | $198,750 | $195,000 | $199,500 | 1.92% | -0.40% |
| MOUNT ALEXANDER | $369,000 | $365,000 | $365,000 | 1.10% | 1.10% |
| MACEDON RANGES | $485,000 | $480,000 | $485,500 | 1.04% | -0.10% |
| HORSHAM | $220,000 | $218,000 | $210,000 | 0.92% | 4.80% |
| CITY OF BALLARAT | $287,500 | $285,000 | $285,000 | 0.88% | 0.90% |
| WARRNAMBOOL | $324,500 | $322,000 | $320,000 | 0.78% | 1.40% |
| EAST GIPPSLAND | $278,000 | $276,000 | $265,000 | 0.72% | 4.90% |
| MITCHELL | $320,000 | $319,000 | $319,000 | 0.31% | 0.30% |
| MILDURA | $225,000 | $224,500 | $220,000 | 0.22% | 2.30% |
| BASS COAST | $382,500 | $382,500 | $410,000 | 0.00% | -6.70% |
| CITY OF GREATER BENDIGO | $310,000 | $310,000 | $300,000 | 0.00% | 3.30% |
| CITY OF GREATER Geelong | $385,000 | $385,000 | $380,250 | 0.00% | 1.20% |
| MOORABOOL | $360,000 | $360,000 | $341,000 | 0.00% | 5.60% |
| QUEENSCLIFFE | $700,000 | $700,000 | $690,000 | 0.00% | 1.40% |
| WODONGA | $249,500 | $250,000 | $285,000 | -0.20% | -12.50% |
| SOUTH GIPPSLAND | $238,500 | $239,000 | $265,000 | -0.21% | -10.00% |
| MOIRA | $225,000 | $225,500 | $227,750 | -0.22% | -1.20% |
| CITY OF GREATER SHEPPARTON | $250,000 | $251,000 | $240,000 | -0.40% | 4.20% |
| GOLDEN PLAINS | $332,000 | $335,000 | $361,500 | -0.90% | -8.20% |
| WELLINGTON SHIRE | $250,000 | $254,000 | $275,000 | -1.57% | -9.10% |
| ARARAT | $150,000 | $152,500 | $170,000 | -1.64% | -11.80% |
| CITY OF LA TROBE | $236,250 | $243,000 | $250,000 | -2.78% | -5.50% |
| GLENELG | $240,000 | $250,000 | $252,000 | -4.00% | -4.80% |
| STRATHBOGIE | $302,500 | $316,250 | $242,500 | -4.35% | 24.70% |
| CORANGAMITE | $200,000 | $212,000 | $162,500 | -5.66% | 23.10% |
| PYRENEES | $200,000 | $215,000 | $210,000 | -6.98% | -4.80% |
| HEPBURN | $337,000 | $362,500 | $368,000 | -7.03% | -8.40% |
Source: REIV
The major regional markets were flat.
"Median house prices in key regional centres were stable with a 0.9% rise in Ballarat to $287,500; no change to the $310,000 recorded in Bendigo during the March quarter; and no change to the $385,000 recorded a quarter ago in Geelong," REIV CEO Enzo Raimondo said.
The top performing suburbs with the largest quarterly change in median prices in these three cities were Lake Wendouree in Ballarat with 13.88% and median price of $595,000, Maiden Gully in Greater Bendigo with 6.30% (median price of $425,000) and Barwon Heads in Greater Geelong with 11.03% (median of $755,000).
The Geelong market appears to have taken the recent announcements of job cuts or future job cuts at Ford, Target and other companies in its stride. House prices are up 1.2% over the past 12 months with Barwon Heads prices up 17.1% over the past 12 months and East Geelong prices up an impressive 21.4% over the past 12 months to a median of $437,000.
Outside of the main regional centres, the results were a mixed bag of the June quarter.
Many regional markets recorded either flat or declining house prices with Shepparton, house prices down 0.4% to a median of $250,000, Horsham recording a modest gain of 0.8% to a median of $220,000, Mildura up 0.22% to a median of $225,000 and prices almost unchanged in Mitchell, Moira and Moorabaool.
The REIV notes that demand was strong in the Macedon Ranges and the Mount Alexander Shire with a 1% and 1.1% rise respectively.
"These two municipalities are part of the popular Melbourne to Bendigo corridor and as the data is based on the sales over the twelve months to end of each quarter the change is quite significant," says the REIV's spokesperson Robert Larocca.
Picture courtesy of goodmove.vic.gov.au.