Sydney beats $700,000 price barrier Sydney median smashes $700,000 But what sort of houses can you buy for this much? PT1M51S http://www.smh.com.au/action/externalEmbeddedPlayer?id=d-2w1l3 620 349 October 24, 2013 - 12:03AM In the September quarter the median house price jumped 4.2per cent to $722,718. ""Sydney is ... head and shoulders above the rest,"" Australian Property Monitors senior economist Andrew Wilson said. ""We are in uncharted territory now."" Apartment prices in the harbour city have also skyrocketed, APM quarterly data shows. The median price surpassed $500,000 for the first time, growing 3.3 per cent to $515,035. While it is further grim news for first home buyers, Dr Wilson said those who bought 18months ago had done well. ""House prices are now $90,000 more expensive than they were at the start of 2012,"" he said. ""And apartment prices are nearly $65,000 higher."" Nationally, there was a ""moderate"" increase of 2.2 per cent in the September quarter. Melbourne's house price grew 2.2per cent while Brisbane rose 0.7per cent. Adelaide and Perth were flat, and in Canberra prices fell 1.4 per cent. The head of residential at LJ Hooker, Chris Mourd, said Sydney's performance came down to lower unemployment, rising confidence and international buyers. ""Sydney is a very multicultural city and overseas people often choose to reside here and send their children to university,"" he said. ""Overseas buyers tend to be affluent buyers."" Real estate agents witnessing the strongest spring in a decade say it's no surprise Sydney prices have surged. ""The lack of stock and low interest rates mean we have multiple buyers at auctions, big numbers through inspections and properties spend less time on the market,"" Monique Dower from Belle Property Balmain said. Ms Dower said many properties were now fetching more than $100,000 above reserve. ""That hasn't happened in a few years."" The top end of the market is also showing signs of life with an original condition 1970s-style Bondi home with ocean views selling post-auction on Saturday for about $15 million. Selling agent Ric Serrao from Raine & Horne Double Bay said: ""Eight months ago there was no action. My clients would say, "Call me when it passes in." Now they are coming to auction and bidding."" While property owners will be happy to see the value of their homes increasing, Dr Wilson warned the party may not last. ""We are now getting a flood of listings from sellers who want to take advantage of these strong conditions,"" he said. ""The question is whether there will be enough demand to sustain these high growth levels,"" he said. ""I think it will plateau but we don't have any clear indications of that. ""At the moment the market is very confident.""