Victoria leads property market recovery with positive signals

In Short:
– Melbourne and regional Victoria lead with 70% of locations showing positive growth signals, attributed to affordable housing.
– First home buyers are increasing loans thanks to government support, amidst internal migration and infrastructure investments.

In this episode of The Property Playbook, host Tim Graham features Terry Ryder, founder of Hotspotting, sharing expert insights into property growth predictions and market dynamics across Australia.

Victoria is taking the lead in the latest Price Predictor Index, with around 70% of locations showing positive growth signals after years of slow progress. Melbourne’s rising appeal reflects growing recognition of its value compared to other capital cities, despite high property taxes. Population pressures, driven by both overseas migration and movement to regional areas, alongside major infrastructure projects such as new hospitals, are boosting the local economy.

Regional Victoria continues to show strong performance, with cities like Geelong, Ballarat, and Bendigo benefiting from their proximity to Melbourne. Meanwhile, Launceston in Tasmania is distinguishing itself with a robust economy and attractive affordability, even after recent market adjustments. These regional hotspots highlight a shift toward more affordable living while still offering strong economic prospects.

Property growth

Queensland presents a more mixed picture, with areas such as Gladstone and Townsville experiencing market slowdowns, while Toowoomba and the Gold Coast remain relatively stable. Across all regions, sales activity—particularly from first home buyers supported by government measures—remains a key driver of property growth. Internal migration toward regional living, combined with extensive infrastructure spending, continues to influence market dynamics.

Concerns persist regarding government policies that may exacerbate the housing crisis by limiting new dwellings and increasing costs. As Australians navigate these shifting property trends, understanding local economic and demographic factors is more important than ever.