How local property prices trended in 2019
Welcome to the 2019 local property market year in review. This review gives an overall picture of how property prices trended in 2019.
Here’s what you’ll find in the review:
- Month-by-month median house prices for local suburbs so you can see how prices have trended
- Five-year compound growth rate for local suburbs
- Suburbs with the highest and lowest median house value in Victoria
We hope you’ll enjoy nerding out over this data with us.
2019 Property market overview
Overall across Australia in 2019, house values decreased significantly.
The housing market moved through the largest and longest correction on record. This correction was followed by a fast-paced rebound in overall values through the second half of the year.
The number of houses bought and sold (housing turnover) fell to record lows in 2019. The number of properties advertised for sale (advertised stock levels) also fell to record lows.
Factors that contributed to the downturn in the property market include:
- The Financial Services Royal Commission
- A slower economy
- Uncertainty around the federal election (earlier in the year)
- Tightening credit environment (i.e. stricter rules for people borrowing money)
Factors that contributed to the rebound in overall values through the second half of the year include:
- Changes to APRA’s guidance around interest rate floors (the way mortgage applications are assessed) making it easier for people to borrow
- Mortgage interest rates reduced to the lowest levels in Australian history
- Negative gearing rules remaining the same
- APRA lifting the cap on interest only loans
Local property market review (Mornington Peninsula and South East Victoria)
Throughout the year, we provide our email subscribers with an exclusive monthly property market updates. These updates include an overview of national housing values and local suburb median house prices. The suburbs in the report are selected by our subscribers.
Median house price
Here’s an overview of how local median prices have trended over 2019:*
Are the suburbs you’re interested in not included here?
Send us a quick message to let us know which suburb/s you’d like included on our 2020 updates. Click here if you’d like to receive exclusive monthly property market updates
Here’s a quick FYI:
The median house price is the midway point of all the houses sold over a set period.
It’s different to the mean price. Mean price is the average price. To get the mean price you’d add the sold prices together and then divide that figure by the number of sales.
The median price is a more accurate indicator of the market than the mean price, as it reflects the sample size being used.
Growth rate
When you’re looking to buy, it’s wise to get an idea of the suburb’s house value growth rate.
Here’s are the compound growth rates for local suburbs bases on five years’ of sales:*
Mornington: 8.0% for houses and 6.4% for units
Mount Eliza: 8.3% for houses and 4.0% for units
Frankston: 9.0% for houses and 5.7% for units
Frankston South: 7.7% for houses and 6.8% for units
Seaford: 7.7% for houses and 6.0% for units
Carrum Downs: 9.3% for houses and 7.0% for units
Keysborough: 9.2% for houses and 4.5% for units.
Lilydale: 6.7% for houses and 3.7% for units.
Bonbeach: 6.2% for houses and 2.2% for units.
Chelsea: 8.4% for houses and 5.9% for units.
Langwarrin: 7.8% for houses and 8.4% for units
Carrum: 9.0% for houses and 5.2% for units
Patterson Lakes: 6.0% for houses and 5.2% for units
Here’s a quick FYI:
Compound growth rate is the mean annual growth rate of an investment.
Melbourne’s highest and lowest median house values
Let’s cast our net further afield and look at Melbourne.
The 10 suburbs with the highest median house values:**
| Rank | Suburb | Median value |
| 1 | Toorak | $4,694,283 |
| 2 | Deepdene | $3,138,484 |
| 3 | Canterbury | $2,890,059 |
| 4 | Brighton | $2,779,998 |
| 5 | Middle Park | $2,519.422 |
| 6 | Malvern | $2,461,624 |
| 7 | Kew | $2,457,799 |
| 8 | Balwyn | $2,441,791 |
| 9 | Hawthorn | $2,394,324 |
| 10 | Camberwell | $2,255,867 |
The 10 suburbs with the lowest median house values:**
| Rank | Suburb | Median value |
| 1 | Melton | $383,748 |
| 2 | Kurunjang | $428,460 |
| 3 | Melton South | $430,283 |
| 4 | Millgrove | $441,261 |
| 5 | Frankston North | $451,777 |
| 6 | Coolaroo | $457,868 |
| 7 | Hastings | $454,488 |
| 8 | Melton West | $463,785 |
| 9 | Brookfield | $464,924 |
| 10 | Dallas | $468,905 |
It’s certainly been an interesting event-filled year for the property market. We’re looking forward to seeing what the market will do in 2020.
Our regular EXCLUSIVE property market updates return mid-January. The monthly property market updates are available only to our email subscribers, so click here to ensure you don’t miss out.
Also, our bi-annual property market review and forecast comes in February. The bi-annual review and forecast is only available via email, subscribe, and we’ll send it straight to your inbox.
* According to the latest data from realestate.com.au
** According to Corelogic
Please note:
Property sales data is routinely updated, so may change retrospectively
Compound growth rate for Sandhurst is unavailable at this stage
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