Melbourne House Prices Decline Amid Interest Rate Hikes and Policy Changes
Melbourne's housing market is experiencing a significant downturn, with median house values falling by 1.4% in June, marking a 3.4% decrease over the past year. This decline is part of a broader trend affecting major Australian cities, including Sydney, where house values have dropped by 5.9% since the start of the year. The downturn is attributed to rising interest rates and changes in federal budget policies, such as adjustments to property taxes. Despite the recent declines, property values in Melbourne have increased by 29.5% over the past decade, although this is the smallest increase among major cities. The Reserve Bank's interest rate hikes and high living costs are contributing to the market's weakness, with potential sellers holding back due to unfavorable conditions. 
