Yarrawonga, Horsham, Ararat: Which regional Victorian towns have seen the biggest property price increases?

Regional Victorian property prices went through the roof last year, and new statistics show which towns saw the biggest leaps in price.

New data has confirmed that regional Victorian property prices have recorded an increase in value not seen for 20 years.

The median house price in regional Victoria has recorded its largest annual increase since 2001, according to data from Real Estate Institute of Victoria’s December quarter report.

In 2021, the median house price in regional Victoria grew 27 per cent reaching a record-breaking $565,000 for the year.

The data also reveals which towns have seen the biggest jumps in price.

In Victoria’s northeast, Yarrawonga, had one of the highest increases in median house price – recording a 40.3 per cent increase pushing the area’s new median to $615,750.

Elders Real Estate Yarrawonga agent Xavier Leslie, who has been selling property in regional Victoria alongside his father for 14 years, said the property value increases in his area are unprecedented.

“I have never seen anything like it,” he said.

“It has been a very bullish marketplace over the past 18 to 24 months. Since Covid it has just gone gangbusters.

“As an example to show how hot the demand is, properties that used to spend 12 months listed before sale, now are gone in days and weeks, not months.

“The capital growth we have seen is really hard to fathom.”

Mr Leslie said the market at Yarrawonga was being driven by its tourism popularity and its continued expansion.

He said there were a few key factors that could affect the future of the market.

“The two obvious ones are interest rates and if the RBA alters things,” he said.

“And once overseas travel becomes much greater we might see an impact with our local market as we have seen plenty of people invested in our high-end properties.

“But how long will it continue? Who knows?”

Some of the other major movers include Horsham in the Wimmera, which saw a 54.1 per cent increase in the median house price, with a new total of $339,000.

Median house prices in Ararat also increased considerably, up 36.7 per cent, taking the new median price to $335,000.

The increase in median house and unit values across the state has also coincided with a booming demand for land, which has reshaped the way regional Victoria looks.