July 2014 has to be one of the best months in Melbourne's 137 year property history. According to RP Data, last month's price increase of 3.7% (in just one month!) is a sign of more good things to come. If it can be sustained, this equates to a potential 44% gain for the oncoming year.
http://theage.domain.com.au/real-es...llar-median-for-melbourne-20140801-zzjr9.html
With record low interest rates and no mining boom/bust to contend with, it seems as if Melbournites are headed for perfect conditions for Capital Gain for the next year or so.
Before skeptics disclaim this as another case of Dow 30,000 insanity, do consider that these sorts of economic events have occurred in the past. I can personally attest to seeing huge annual gains back in the late 80s, at a time when the Aussie economy was a lot less healthy than it is now. My elderly parents say the same of the 50s and 60s, when it was not unusual for sought-after suburbs to double every 3-5 years.
(For those who are interested, the Valuer Generals Office in Melbourne has an excellent library and is the first stop for corroboration if you want more retro information If someone manages to access the hard data online, please PM me).
http://theage.domain.com.au/real-es...llar-median-for-melbourne-20140801-zzjr9.html
With record low interest rates and no mining boom/bust to contend with, it seems as if Melbournites are headed for perfect conditions for Capital Gain for the next year or so.
Before skeptics disclaim this as another case of Dow 30,000 insanity, do consider that these sorts of economic events have occurred in the past. I can personally attest to seeing huge annual gains back in the late 80s, at a time when the Aussie economy was a lot less healthy than it is now. My elderly parents say the same of the 50s and 60s, when it was not unusual for sought-after suburbs to double every 3-5 years.
(For those who are interested, the Valuer Generals Office in Melbourne has an excellent library and is the first stop for corroboration if you want more retro information If someone manages to access the hard data online, please PM me).