September 27th, 2025Real estate news

Kyle Barnes chatted with REIV CEO Jacob Caine about the state of play for real estate.

Kyle: How is regional real estate doing currently?
Jacob: Regional houses recorded strong price growth in two consecutive quarters (2.9 per cent in March and 2.6 per cent in June), out-performing metro Melbourne.
The City of Ballarat and Hepburn Shire recorded modest growth over the same period compared to other regional areas since they are more established.
Over the past five years, they had 28.9 per cent and 17.9 per cent, respectively.

Kyle: What does the next year or so look like?
Jacob: Most markets across the country, particularly the major capital cities, have seen prices rise at a much faster pace than those in Victoria.
As a result, this is making Victorian housing prices look relatively more affordable and expected to drive an increase in interest, especially from interstate markets.

Kyle: There seems to be plenty of stock in the Central Highlands but not so many buyers – are they starting to come back?
Jacob: Historically, we’ve seen that reductions in interest rates lead to increased demand for housing and higher prices.
With interest rates lower than where they were last year, we expect the demand to build. The median days on market for properties for sale is also trending lower, showing buyer demand.

Kyle: Finally, does a program like The Block traditionally cause changes in the industry? Many people think they will struggle to get $3-$3.5 million which is their price guide.
Jacob: Media has always played a role in generating interest and excitement. The exposure through programs like The Block will drive attention to the region.
In addition, lower interest rates and a refresh of stock coming to market during spring is likely to increase demand for homes.
Furthermore, when compared to the rest of Australia, Victorian housing is now relatively more affordable. This fact is likely to attract the attention of interstate buyers.