The ability for more people than ever to work from home will see Warrnambool's property market remain strong for several years to come.
Subscribe now for unlimited access.
or signup to continue reading
Real Estate Institute of Victoria president Leah Calnan said in the past people could only choose to make a seachange if they could gain employment in their industry.
However, the coronavirus pandemic had shown many employers it was possible for staff to work from home.
She said Warrnambool, along with a number of other regional Victorian cities, were experiencing a boom.
"People are now realising they can enjoy the Warrnambool lifestyle and commute to work several times a week if they need to," Ms Calnan said.
"There's no evidence to suggest demand will slow down."
Ms Calnan said median prices in regional areas were expected to increase more than that of metropolitan cities in 2021.
She said buying a house in a city like Warrnambool for potentially less than half the value of a metropolitan Melbourne dwelling was an attractive option.
"The pandemic has allowed people to see how they can have the best of both worlds," Ms Calnan said.
She said councils in regional areas such as the south-west needed to prioritise the release of more land to ensure people wanting to make a move had somewhere to go.
Greater pressure also needed to be placed on the state government to ensure the city had the infrastructure to cope with a population influx, she said.
The median house price of homes in Warrnambool increased by 19 per cent in 2020- the biggest jump on record - it was revealed recently.
REIV data revealed the median price for a three-bedroom house in the suburb of Warrnambool last year was $390,000, up 14.6 per cent from the year before.
The median price for a two-bedroom property was $315,000 - an annual change of nearly 10 per cent.
In addition to that, properties are being snapped up fast, with some being sold before agents can even advertise them online.
Agents have reported increased interest from out-of-town buyers, multiple offers on homes and listings selling well above the expected price.
Recently, a three-bedroom home with a price guide of $320,000 to $350,000 sold for $425,000 at auction.
Listen to the latest episode of our weekly podcast The Booletin and Beyond:
Have you signed up to The Standard's daily newsletter and breaking news emails? You can register below and make sure you are up to date with everything that's happening in the south-west.
