Core Insights - Melbourne's housing market has shown significant recovery, with a median house price increase of 1.6% over the past year, reaching approximately AUD 1.064 million [1] - The report indicates that independent house prices have risen to a three-and-a-half-year high, while apartment prices have reached a two-year high [1] Suburb Performance - Aberfeldie has the highest annual increase in independent house prices at 21.6%, now priced at AUD 1.946 million [1] - Other notable suburbs include Fairfield (up 18.8% to AUD 1.63 million) and Heidelberg (up 14.3% to AUD 1.308 million) [1] - Box Hill, a Chinese community area, saw a 13.8% increase, bringing its median price to AUD 1.48 million [2] Apartment Price Trends - Moorabbin leads in apartment price increases with a 25.9% rise to AUD 750,000 [4] - Caulfield South and Fairfield also experienced significant increases of 25.3% and 20.1%, respectively [4] Market Dynamics - The surge in prices is partly attributed to families upgrading to larger homes before potential interest rate hikes by the Reserve Bank of Australia [3] - The tight supply in the market, particularly in Aberfeldie, has contributed to the strong price performance [5]

Core Insights - Investors from New South Wales (NSW) are increasingly purchasing properties in Melbourne, particularly in the outer suburbs, due to lower prices compared to Sydney following interest rate cuts [1][3] - The rental market in areas like Tarneit, Hoppers Crossing, and Werribee is performing strongly, with rental prices increasing by 6.8% in Werribee and 6% in Hoppers Crossing and Tarneit over the past year [3][5] - The proportion of NSW buyers in Victoria has risen to 16% in the first quarter of this year, up from 15.3% in the same period last year [3][4] Market Trends - The average budget for most NSW investors is between AUD 500,000 and AUD 650,000, often leading them to purchase properties through off-market listings and auctions, which can disadvantage first-time buyers [4][5] - Recent sales include properties in Hoppers Crossing and Werribee sold to NSW investors for AUD 580,000 and AUD 607,500 respectively, indicating a trend of seeking affordable investment options [5][7] - The influx of NSW buyers is noted to be particularly strong in areas like Reservoir and Thomastown, where rental yields are attractive, with some properties being purchased without prior inspections due to confidence in Melbourne's stable property market [7]