It’s a bit of a grim outlook for Melbourne homeowners if they’re planning to sell in 2025, with experts suggesting Melbourne’s property market could perform the worst of all Australian capital cities in the coming year.
The gloomy forecast is backed by PropTrack’s December 2024 Home Price Index which showed Melbourne property prices fell by the second largest margin of all Australian capital cities at -0.53%, a decrease exceeded only by Canberra at -0.61%. PropTrack also recorded Melbourne’s annual growth to December 2024 at -2.5%.
Australia’s national property price boom since March 2020 has seen a combined capital city average increase of 40.2%. Melbourne took the title of Australia’s weakest performing capital city at the end of last year, leaving it ranked as the fifth most expensive capital city behind Sydney, Canberra, Brisbane and Adelaide.
With Melbourne median home prices forecast to dip below Perth in the coming months, only Hobart and Darwin are expected to rank lower than Melbourne for median property values during 2025.
If there is a silver lining it is in the pockets of Melbourne’s first home buyers. They are finally able to find affordable homes in what has historically been one of Australia’s most expensive cities.
Chat to us about how a property advocate can help you sell or buy in the current market with confidence. Investment buyers can receive invaluable support and guidance through our Buyers Advocacy Service, and for landlords who are selling, our Vendor Advocacy Service helps vendors achieve outstanding results.
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