Sandhurst, located to the south-east of Melbourne’s CBD, has topped a list of Victoria’s top ten performing suburbs for houses over the past 12 months, compiled by PRDnationwide.
According to report author Dan O'Halloran, PRDnationwide Victorian research analyst, the median house sale price in Sandhurst grew from $330,000 in September 2009 to $515,000 12 months later – a whopping 56 per cent growth.
A close second on the list - recording 54 per cent growth - was McCrae in the Mornington Peninsula. This was followed by Woodend which registered a 49 per cent hike in the median house price.
"Interestingly, the top three performing suburbs were the only three suburbs in the Top 10 that were located more than 25km outside of the Melbourne CBD," said Mr O'Halloran.
The Top 10 performing suburbs for apartments were also analysed.
Brighton East achieved the state's most rapid median price growth for units - recording an increase of 51 per cent to reach a median of $795,000 in September 2010.
"Not surprisingly, it was the densely populated suburbs within close proximity to Melbourne that accounted for the overwhelming majority of top performing suburbs for units," Mr O’Halloran said.
"Nine of the Top 10 median price growth performers were located within 15 kilometres of the Melbourne CBD."
In close alignment with Victoria's house market, unit sales activity tightened significantly throughout 2010.
"Once again, it was the more wealthy investors and home owners, who were capable of absorbing the interest rate hikes that were best placed to buy higher end real estate at a good price."