Mildura Property Market Update 2nd Half of 2023
In Q3 2023, Mildura recorded a median house price of $440,000, and a median unit price of $333,500. This represents annual (Q3 2022 – Q3 2023) growth of 3.0% for houses and 7.6% for units. Total sales decreased between Q3 2022 – Q3 2023, by -23.4% (to 128 sales) for houses and by -43.8% for units (to 27 sales). A market undersupply is evident, as median property prices grew while total sales declined. However, on a quarterly basis (Q2 2023 – Q3 2023) house prices softened by -2.2%, which creates new opportunities for first home buyers waiting to enter the market.
Average vendor discounts between Q3 2022 and Q3 2023 have widened further for both property types, to higher discounts of -5.0% for houses and -4.9% for units. Market conditions in Mildura* continue to favour buyers, as vendors are willing to accept below the initial listing price. Now is the time to buy.
House rental yields in Mildura was 4.7% in September 2023, higher than Melbourne Metro (3.1%). This was paired with 5.3% increase in median house rental price in the past 12 months to Q3 2023, to $400 per week, and a -18.0% decline in the number of houses rented (to 164 rentals). This median unit rental price has remained stable, while the number of units rented declined. This indicates an undersupply in both rental markets, and an opportunity for investors.
4+ bedroom houses have provided investors with +8.9% rental growth annually, achieving a median rent of $490 per week.
Mildura recorded a vacancy rate of 0.8% in September 2023, slightly below Melbourne Metro’s 1.2% average. Vacancy rates in Mildura have held steady in the past 12 months, indicating stability in its rental demand. A 0.8% vacancy rate is lower than the Real Estate of Institute of Australia’s benchmark of 3.0%, thus a quicker rental occupancy in Mildura. This suggests a conducive and sustainable environment for investors, with a more affordable entry price than Melbourne Metro.
