Victorian suburbs dominate value growth list

Thirty-nine of the 50 best performing suburbs in Australia are from the state of Victoria, a report from industry think tank CoreLogic revealed.

According to CoreLogic's Top Performing Suburbs Report, Cockatoo in the Dandenong Ranges in Victoria was the top performing suburb in Australia, with a median value growth of 41.6% over the past 12 months.

Homes in Cockatoo have a median value of $569,177, 64.6% higher compared to three years before. Aside from Cockatoo, five others cracked the top 10 best performing suburbs.

CoreLogic research director Tim Lawless said the report focused on suburbs where median value growth across 12 months, 3 years, and five years has been higher than 15%.

Seven suburbs in New South Wales, two in Queensland and one each in Tasmania and Western Australia also made the cut.

“These results are in alignment with the performance of the housing market generally being a two speed market of Victoria and NSW performing more strongly than the rest of the country,” Lawless said.

Perth's Cottesloe was the lone Western Australian suburb to make the list. It ranked fourth best-performing suburb, with a 12-month median value growth of 38.7% and a median house value of $2,308,698.

Lawless explained that while the Perth market had underperformed as a whole compared to the eastern states, Cottesloe demonstrated that desirable locations with quality homes at the premium end of the market would often buck general trends.

Below are the top five performing suburbs with consistent median value growth:

Related Stories:
Four Victorian suburbs to watch this year
Now is the best time to buy your first home in Victoria