Theresa Worrell: Melbourne Housing Market Update [video]

Melbourne housing values recorded a 2.1% lift last month, with stronger capital gains skewed towards the detached housing sector.

House values are 4.2% higher over the past three months compared with a 1.9% lift in unit values.

Although values are on a consistent and strong recovery trajectory, Melbourne housing values remain 1.7% below their pre-COVID peak.

Buyer activity has also been rising rapidly, with CoreLogic estimating the number of settled dwellings sales over the past three months was tracking 38% higher than a year ago.

Listing numbers are only 2% higher than a year ago, implying demand is outpacing supply, contributing to the upwards pressure on prices.

Across the sub-regions of Melbourne, the Mornington Peninsula stands out with the strongest capital gains, with values up 9.3% over the past twelve months.

The Inner Eastern suburbs and Inner Melbourne have recorded the largest decline in values over the past year, however, more recently the growth trend has turned positive.

Melbourne