The Melbourne housing market has reached a stagnation point, with no growth or decline recorded for June.
The Real Estate Institute of Victoria (REIV) released figures last week showing the median house price in Melbourne remained at $535k.
CEO Enzo Raimondo blamed ‘broad economic factors’ of slow population growth and low consumer confidence as contributing factors.
“Both buyers and sellers are approaching the market in a conservative manner. This is translating into a lower number of sales than is present in a strong market and as a result, no real price growth has been recorded.
“The real estate market moves in cycles and, after the initial price falls in 2011, it is now in a period of stability marked by low activity,” he said.
Raimondo believes the market will remain like this for some time.
Meanwhile, private sales in Melbourne had increased by 2.1%, while those sold at auction decreased by 2%.
The suburbs of Balwyn and Malvern East also saw increased value and demand.