Mildura Property Market Update 2nd Half of 2020
In Q3 2020, the Mildura area recorded a median house price of $330,000 and a vacant land median price of $130,000. This represents annual (Q3 2019 – Q3 2020) median price growth of 6.2% for house and 6.6% for vacant land. Between Q3 2019 – Q3 2020 sales declined by -26.5% for houses (to 119 sales), however vacant land sales increased by 32.3% (to 41 sales). Positive median price growth amidst COVID-19 indicate a resilient market. Now is an opportune time for first home buyers to enter the market and build their dream home, through accessing multiple Federal and State government incentives.
The average days to sell a house in Mildura has declined over the 12 months to Q3 2020, to 57 days. This indicates buyer demand is still present amidst COVID-19. Buyer activity also increased for vacant land, as average days to sell declined to 70 days in Q3 2020.
In September 2020, house rental yields in the Mildura area were recorded at 5.1%, well above Melbourne Metro (2.6%). In the 12 months to Q3 2020, median house rental price held stable at $350 per week. Average days on the market for house rental declined by 33.3% (to 16 days). Overall this represents an extremely resilient rental market amidst COVID-19.
4+ bedroom houses have provided investors with +5.4% rental growth annually, with a median rent of $390 per week.
In September 2020, Mildura recorded a significantly low vacancy rate of 0.4%, on par with Mildura LGA and sitting well below that of Melbourne Metro (3.8%). Vacancy rates in Mildura is now at a record low, well below the Real Estate Institute of Australia’s healthy benchmark of 3.0% and continuing a declining trend even amidst COVID-19 conditions. This confirms there is an increasingly healthier rental demand and a conducive investment environment in the area.