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University of Sydney finance lecturer Danika Wright said median house prices were still increasing only one per-cent per year compared to the over-15 per cent spike in Sydney.

“While there’s no doubt the region is currently a ‘hot sellers’ market’ with properties selling quicker than the long run average time and at prices closer to the seller’s asking market,” Dr Wright said.

“However, the median price has increased only slightly.”

Dr Wright said for house prices to increase in the region, the market had to remain hot so people would want to list their properties to advantage of capital appreciation. 

“If the heat in the market is going to continue, I think we’ll need to see the prices going up in order to entice more people to consider putting their property up for sale.”

However, stable house prices do mean home owners are protected from any sudden losses.

Dr Wright said if the market cooled off, the region’s real estate agents could expect a return to slow property sales. 

“If the Great Lakes area real estate market cools down, probably following a cooling-off in Sydney, I think it’s unlikely we’ll see massive price falls as there hasn’t been the same steam in the region’s property prices during this cycle so far,” she said.

Dr Wright said markets along the coast, from Shoalhaven to Coffs Harbour, had similar high-sales activity without rising prices.

Markets closer to Sydney such as Penrith and the Blue Mountains also had similar patterns to the Great Lakes region.