Hi,
Domain’s preliminary Melbourne auction clearance rate for last weekend is currently sitting at 76%. Each week the clearance rate has been nudging higher and higher demostrating strength in the Melbourne property market. 576 auctions were reported with 415 selling, 36 withdrawn and 125 passing in. The auction clearance rate for the same time last year was 54%.
The Domain House Price Report for the June 2025 quarter has been released with Melbourne median house price increasing by 2.3% ($23,585) to $1,063,719. Units are also performing strongly with a quarterly increase of 2.7% to $573,600. Declining interest rates, increased confidence in the Melbourne property market and a lack of stock for sale have been the driving forces.
The median house price has not reached the peak of the market (which was in December 2021) but being only $29,000 off this number, it doesn’t seem long until Melbourne will reach an all time high median house price.
The ‘on hold’ interest rate announcement last month was likely what the property market needed to keep it from entering into a booming market and keep the price growth a more sustainable ‘slow and steady’ pace. The next Reserve Bank of Australia meeting is scheduled for the 11th and 12th of August and it seems the interest rate decision will largely be based on the results of the June 2025 quarter inflation data from the Australian Bureau of Statistics.
Have a great week.
Kim Easterbrook – Managing Director
