Forest Lake Housing Market Continues to Grow, Median Price Reaches $440K

The REIQ recently reported the latest housing market statistics which showed Forest Lake median house price hitting $440,000, up 1.1% over the last 12 months and 15.8% over the last 5 years. In the 2nd quarter of 2018, there were 92 homes sold in the suburb.

“Overall the market in Forest Lake has performed exceptionally well in the last 20 years producing an average capital growth of 13% p.a.,” said Leisa Le of AP Realty.

“Contrary to popular belief the small lot Cottages and Villas have outperformed many of the homes on larger allotments as seen below.”

“During the past year the median price is up 2% (now $440k) representing a mix of 3 Bedroom homes at $372k and 4 Bedroom at $492k, Ms Le said.

“The median house price is essentially the sale price of the middle home in a list of sales where the sales are arranged in order from lowest to highest price. So in a list of 11 sales, it would be the sale price of house number 6, which has 5 lower priced sales below it and 5 higher priced sales above it.

“The Forest Lake market has a lot of stock at similar prices, so you don’t get the volatility in the median pricing that you do in smaller markets.

“The number of Days on the Market is currently 52, which is down from 63 one year ago, a sign that the market is becoming tighter.

“The average discounting (sell price on list price) is 3.5% – again quite low when compared to recent years. Investors (local and interstate) are attracted to the local market which is now regarded as a “middle-ring” suburb. We are predicting strong growth for the next 2-3 years as the southern markets contract.”