Mernda’s real estate boom is tipped to continue this year with the suburb making the Real Estate Institute of Victoria’s list of suburbs to watch in 2017.
The REIV has compiled a list of the 10 suburbs it expects to perform well this year, with Mernda taking 10th place. Other suburbs include Hoppers Crossing, Fawkner, Ardeer and Montmorency.
Chief executive Geoff White said Mernda had experienced moderate growth in 2016, with house prices rising 6.5 per cent. The median house price is $444,000.
“Infrastructure improvements, including the rail extension from South Morang, are likely to result in further growth in 2017,” he said.
The $558 million Mernda rail extension was funded by the state government in last year’s budget. Work is expected to begin this year.
The extension includes new stations at Mernda, South Morang’s Marymede Catholic College and Hawkstowe Parade.
Harcourts’ Mill Park-South Morang director Daniel Taylor said buyers were turning to Mernda in search of affordable properties close to public transport, community facilities and infrastructure.
“The infrastructure promises are encouraging people to live in Mernda. People are not put off by living further out,” he said.
Mr White said outer suburbs were likely to be the top housing performers during this year.
“Lower stock levels, record low interest rates and strong population growth will encourage buyer interest well into 2017,” he said.
“Agents were already filtering listings for February, well ahead of the close of the 2016 year – a very positive sign for the first quarter of 2017.
“House [prices] in Melbourne’s outer suburbs have grown steadily throughout 2016 and, given that days on the market for the outer suburbs are the lowest in the state – at 28 days – this interest is likely to continue in 2017.”
