FOOTSCRAY'S median house prices continue to rise, according to REIV figures released last week, and local real estate agents say the trend won't stall for some time.

Data for the June quarter shows Footscray recorded a 16.3 per cent increase to $651,000 compared to the March quarter figure - well above the metropolitan median of 8.5per cent.

The figures also reveal Footscray's median house price has risen by 20.6per cent over the past year.

Footscray West's median price shot up by 38.2 per cent in the past 12 months.

Frank Trimboli, of Frank Trimboli Real Estate in Footscray, says the suburb is recording a strong increase in demand because of its close proximity to the city and housing affordability.

"The Footscray market has been improving for some time because buyers are realising its potential," Mr Trimboli said.

"Buyers haven't been priced out yet although many of them are competing for the same properties. Owners are staying put for the time being as they wait for their properties to increase in value."

Mr Trimboli said most of the buyers seemed to be coming from the eastern suburbs of Melbourne.

Maribyrnong's median house prices have increased by 8.5per cent since the March quarter, but over the past year the change has been marked by an 0.7 per cent rise.

Alan Stephens, chairman of real estate agency Jas H. Stephens, says the data doesn't give a true indication of the value of properties in the area.

"Some streets in Maribyrnong have gone up by 20 or 30 per cent in recent months," Mr Stephens said. "It's important to look at certain types of houses and their location."

Yarraville has experienced a big increase in housing prices since June last year, with the data showing a rise of 28.8 per cent.

"Yarraville is 10 minutes away from the city and the area still has a lot of growth," Mr Stephens said. "It's still an undervalued area."

He said Williamstown was another area which would experience growth over the next few years. "We recently opened up an office in Williamstown and we have a lot of confidence in the area. It has a unique feel to it because of the closeness to beaches and the village-like atmosphere."

Williamstown's median price has risen by 14.2 per cent over the past 12 months.

The June quarter median this year in Altona was $585,000 compared with $460,000 at the same time last year. The suburb's median price rose by 27.2per cent in the past 12 months.

Altona North's median shot up to $521,250 in the June quarter this year compared with $423,000 the same time last year. It had a 23.2 per cent rise in the 12 months.