The average house price in Orange has soared to $509,500 - clearing the half-a-million dollar level for the first time in the city's history.
Figures shown to Orange City Council's latest meeting reveal the median price has risen by about $23,000 in a month from March to April.
It found the average price for two bedroom homes was $392,000 (up $29,000), three-bedroom homes $429,000 (up $14,000) and four-bedroom homes $590,000 (up $15,000).
The increase will continue until supply catches up to the demandOrange City Council staff report
The figures from real estate website realestate.com.au also showed unit prices were up $18,600 to a median price of $307,600 in the same period.
A staff report to council said the housing market was an economic indicator for the city.
It said demand for housing from people moving to the area led to prices rising.
"The increase will continue until supply catches up to the demand or the price moves out of the reach of people hoping to move, driving down demand and along with it the prices," it said.
Real estate agent Josh Fitzgerald said house sales usually began to slow down in the cooler months but this year Orange was seeing strong sales continue.
Mr Fitzgerald, the director of Fitzgerald Estate Agents, said there had an increase in the number of properties for sale.
"There are 183 properties [for sale this week]. Only about four weeks ago we were sitting at 130. There were 50 open homes last weekend," he said.
He said some people were suggesting Orange was getting to the top of the market and prices and demand would begin to ease.
"Maybe it is getting to the top of the market but who knows. There is still plenty of people coming up from Sydney. I think we are at an interesting phase. The buyer's market hasn't changed but people's perception about when to sell has changed." He said many usually preferred to wait until the warmer months to sell.
Mr Fitzgerald said an offer had just been accepted for a property in the Bluestone Lake estate of nearly $1.5 million, which was above the price guide of $1.3-1.4 million. "We had a lot of interest in that over four weeks," he said.
Meanwhile, Mena in Kite Street, regarded as probably the finest property in Orange, is for sale at $2.6 million. He said they had received offers but a sale had not been finalised for it. "We've been awfully close, we've had offers on the table," he said.
Our journalists work hard to provide local, up-to-date news to the community. This is how you can continue to access our trusted content:
HAVE YOUR SAY
- Send us a letter to the editor using the form below