10 percent jump in Melbourne house prices over this year

Melbourne's house prices have jumped more than 10 per cent over the year, but experts say the strong period of growth is now behind us.

The surge in prices follows a solid June quarter where house prices grew by 1.7 per cent to a new median of $607,721, according to Australian Property Monitors Data.

Melbourne's houses prices are now $57,000 higher than the median of $550,773 reported by APM at the end of June 2013, equating to a rise of $156 a day.

The quarterly data also shows Melbourne bucking the national trend, with house prices growth continuing to outpace that of units, which rose by just 0.7 per cent over the June quarter to $419,639.

NAB chief group economist Alan Oster also believes the market is moderating and that most of the growth achieved was from earlier on. "The strongest rate of growth is probably behind us," he said.

But Biggin & Scott Brighton director Trudy Biggin said the momentum of the market would continue through spring, driven by low interest rates, strong confidence and a shortage of stock.

 The above is an extract from the article at: http://smh.domain.com.au/real-estate-news/melbourne-house-prices-jump-10-per-cent-but-experts-warn-of-market-moderation-20140723-zw3hd.html