New CoreLogic figures show 28.3 per cent of Melbourne houses sold for $1 million or more last year — up from 23.7 per cent the year before, and 9.7 per cent five years ago.
The unit market has also seen a significant rise in transactions worth more than a million, jumping from 3.5 per cent in 2012 to 7.2 per cent in 2016 to 8.3 per cent in 2017.
Melbourne’s proportion of sales in excess of $1 million last year was second only to Sydney’s 49.3 per cent for houses and 22.3 per cent for units.
But the CoreLogic report said the tide could be turning in the city’s million-dollar market, with home values trending lower in most of Australia’s capitals.
“Additional data also indicates that values are falling by the greatest amount across the premium sector of the housing market,” it said.
“Should these declines continue, it may result in a decline in the share of sales of properties at or in excess of $1 million throughout 2018.”
CoreLogic state director for Victoria Geoff White conversely expected Melbourne’s seven-figure sales to keep growing this year.
“You can’t get into some suburbs without $1 million now. It’s run of the mill,” Mr White said.
“Five to 10 years ago, it was considered a benchmark.
“It won’t be long until we’re saying $1.5 million will be the minimum spend.”
Mr White said some areas within spitting distance of the CBD still offered houses for six-figures — but they were few and far between, concentrated in the west and north, and many of the homes were “still nudging $900,000”.
A recent spate of eye-watering deals in the leafy inner east also reflect growth in Melbourne’s multimillion-dollar market.
They’re led by the record-breaking $52.5 million sale of Stonington Mansionin Glenferrie Rd, Malvern.
RT Edgar Toorak director Oliver Booth said there were several deep-pocketed families willing to spend “well over $20 million” for substantial homes in Toorak, but not enough available housing stock to meet the demand.