Despite covid lockdowns and closed borders, the Melbourne housing market continues to grow. And with signs that the 200+ days of lockdown are about to become a thing of the past, we thought it was time to have a look at how the Melbourne property market went in 2021. As well as where it’s headed going into 2022.
Darren Walters has more than 20 years of experience in property, finance and lending policies. He is passionate about helping renters across Australia achieve their homeownership dreams. By utilising his no or low deposit new home system, our team has helped thousands of renters escape the rental nightmare to become homeowners. The first step is to simply fill out our pre-qualification form. From there our New Home Consultants will guide you through the journey to owning your own home.
Melbourne Property Market
The Victorian property market took a hit in the first few months of 2020. With tight lockdowns and reduced overseas travel cutting into the investor and residential markets. But the market picked up towards the end of 2020 and into 2021 and is currently booming.
Darren Walters, CEO and Founder of No1 Property Guide, had this to say about the sudden growth of the Melbourne housing market,
“The recent bounce-back of the Melbourne housing market is great news for renters and investors trying to get into the market. But the sharp rise in prices will make it even harder for renters to break into the market without a 20% deposit.
My no or low deposit new home system helps renters escape the rental nightmare. Without needing the large deposit banks and traditional lenders require. Combining that with the booming Victorian economy, there’s a great opportunity for renters and investors to get their new home or investment property.”
And it’s not just Darren who has noticed the market boom. Property developers have taken notice and are getting ready to take advantage of this influx of new home buyers. In fact, more than 18,000 new houses are expected to be built in Melbourne’s western suburbs over the next 2 years.
The key to benefiting from this predicted growth is getting into the market as soon as you can. If you want to find out your factual new home options in Melbourne, or anywhere, fill in our pre-qualification and speak to one of our New Home Consultants. From there, we’ll be able to guide you through your journey and help get you into your new home sooner.
Melbourne Median House Prices During Covid
The Melbourne property market took a significant downturn around April of 2020 and slowly declined in the following months. This changed in October 2020 where the average median price rose significantly. And kept growing until the start of 2021. During the first quarter of 2020, the median house price for the Melbourne metro area was $896,000. While in the first quarter of 2021, it was $1,000,800.
While the Melbourne CBD has seen huge growth over the last 12 months, the outer suburbs haven’t been slacking either. Here at No1 Property Guide, we put a big focus on suburbs not located in the CBD. Darren has more than 20 years’ experience in the property market and has a knack for finding up and coming suburbs and property hotspots.
By developing our no or low deposit house and land packages in these areas, we’re able to help renters escape the rental nightmare at an incredible price. While also putting you into a position to capitalise on the capital growth over the next few years.
To begin your homeownership journey, simply fill in our pre-qualification form. From there, one of our New Home Consultants will be in touch to discuss all of your factual options.
Is Victoria’s Population About to Explode?
In 2019 the population of Victoria grew by 121,000, whereas in 2020 the population only grew by 700! A big part of this was the mass exodus of Melbourne. With people fleeing the densely picked CBD because of covid. In fact, in the first 3 months of 2021, almost 9000 people left Melbourne for regional Victoria or head interstate.
So, with the recent decline of covid numbers, combined with the strong property growth, it’s easy to see the kind of population growth you can expect in Melbourne in the near future.
The current demographic of Melbourne serves as an indicator of future housing demand. Currently, childless singles and couples under 35 years old are the largest demographic at 64% of the population. This is a huge chunk of the population in need of new homes.
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And with the CBD being as full as it already is, these new home buyers will need to branch out further and further from the city. This will of course drive up land and property prices in the outer suburbs. That’s why, as Darren Walters says, getting into the market as soon as you can is the best decision you can make.
Delaying and waiting to take the plunge into homeownership is one of the biggest mistakes I see many renters make. I’ve seen too many people choose to wait a little longer. Either to save a deposit or for a promotion at work. Only to end up missing out on a fantastic location with huge capital growth.
It’s important to remember that your home, whether it’s your first, second or tenth, doesn’t need to be your forever home. Even if it’s in an area that’s not your dream suburb, it’s a place you can raise your family. Of course, it can also act as a stepping stone that enables you to increase your borrowing capacity in the future. And let you move into an area that suits your lifestyle goals.
That’s why I always tell my clients that getting into your new home when you can is the most important step you can take.”
At No1 Property Guide, we’ve made the process of getting into your new home simple. Just fill in our pre-qualification form and our New Home Consultants will reach out to guide you through the homeownership journey from start to finish.
Is Now the Time to Enter the Melbourne Housing Market?
It’s been a tough 2020 for the Melbourne property market. But in 2021 the market has been climbing at a stunning rate. Even though lockdowns continue to hamper the city. Property developers feel the winds of change and are getting ready for the property boom.
Understanding when to get into the market is important. Of course, being able to even take that first step is key. At No1 Property Guide, we’re firm believers that getting in when you can is the most important step. There’s no perfect time, other than when you’re able to take that first step.
The No1 Property Guide’s team has years of experience in the Australian housing market. Our New Home Consultants will show you what your factual options are and how we can help you achieve your homeownership dreams. To find out what we can do for you, fill out our pre-qualification form. Start the process of getting into your new home today!