Melbourne home values were down 0.3% in April; the first month on month fall since May last year.
CoreLogic has released their newest housing market update for May 2020.
The monthly fall comes after a strong rebound in housing values since June last year which saw Melbourne dwelling values reach a new record high in February.
Melbourne has relatively high exposure to overseas migration which is likely to be one of the factors behind Melbourne`s weakness, along with the policies restricting on-site auctions and open homes.
Melbourne rental rates were also down over the month, falling by half a percent.
Rental markets are likely to experience weaker conditions relative to home values due to higher supply of rental properties, and less demand.