House prices surge in Sydney and Melbourne

The price of homes in the capital cities of NSW and Victoria have experienced a steep incline, new data has shown.

Median house prices in Sydney have jumped by 2.4 percent, Domain Group data has revealed.

House-hunters in the harbour city can now expect to shell out an estimated $1,021,968.

The million-dollar median marks an increase from the March quarter, where residential property prices experienced a decline by nearly two percent.

Data for the June quarter also revealed the fastest growing suburbs in Melbourne.

Topping the list was Hawthorn, east of Melbourne’s CBD, where house prices sharply increased by nearly 50 percent.

The median house price for property in the suburb is now $2 million dollars, according to the Domain results.

Just behind was Sunshine, whose house prices had risen to $640,000, a 31.8 percent spike.

A property hot-pocket during the June quarter was Keysborough, located 27 kilometres from the heart of Melbourne.

The south-east suburb experienced a 22.1 percent growth housing prices.

Property experts predict the price of suburbs flanking the CBD will continue to increase, as central suburb living becomes too expensive.