Even though the latest CoreLogic data shows that Melbourne's median house price has reached $826,000, the desire to own property in the city is as strong as ever.

Samantha McCarthy, an agent with hockingstuart in Melbourne's western suburbs, told SCHWARTZWILLIAMS buyers are not being deterred by the high prices, with enquiry levels and the number of people attending open houses remaining high.

"I haven’t seen any change in numbers through our 'open for inspections' and enquiry levels," she said.

Though buyers remain "eager", says McCarthy, "you can hear stress in their tone and uncertainty about what the market is doing."

First-home buyer Sarah Robertson told SCHWARTZWILLIAMS "the increase in median house price has definitely got me worried," and she feels "increasingly upset" about her prospects of buying property.

"I’ve worked hard to get to where I am. I’m currently doing a Masters [degree] to upskill and I’m in a field of work where there’s plenty of opportunity for wage growth, and it still feels like an impossible mountain to climb to ever have enough money to buy a house."

Robertson is fortunate in that she has been able to receive financial help from her family.

"If I wasn’t able to band together with family to get a deposit together, this [dream] would be completely out of my price range," she said. 

McCarthy says she tries to reassure prospective buyers by providing quality information to keep them well informed about the market and their capacity to borrow.

"I find that education is key," she said. 

"I like to spend a bit more time explaining the market, putting them in touch with a quality broker, and making sure that they have a realistic budget," she said.

However, many buyers have had to adjust their expectations of what they can afford, said McCarthy.

"It might mean that they have to consider adjusting their expectations, rather than be in an uncomfortable position when they can’t afford their repayments," she said.

Robertson says she has had to lower her expectations.

"My expectations have definitely adjusted since I’ve started looking," she said. 

"While I’m still hopeful I’ll be able to get something in Melbourne’s inner north, the reality is I’ll probably have to find something slightly further out. I’ve already accepted I’ll more than likely wind up with a place I’ll have to renovate, add bathrooms to, or rip out kitchens and gardens."

Robertson says her friends don't want to compromise on space and amenity.

"No-one wants to live in a dog-box apartment in a big complex, particularly not if you plan on having a family," she said.

Robertson said the trend of 'flipping' properties is seeing developers put profits before quality.

"I went to an inspection in Fitzroy a couple of weeks ago for a warehouse conversion; the property sold for around $750,000 three years ago, and the asking price now was well over $1.2 million.

"The conversion was one of the worst build jobs I’ve ever seen, it was astonishing. The sawtooth skylights were just fibreglass sheeting held shabbily in place with wooden plinths; you’d have to spend tens of thousands installing windows before the place was even inhabitable.

"It just feels incredibly greedy," she said.

McCarthy said the market is showing no signs of slowing down.

"Each month I’m surprised by the prices we’re achieving at auction, with huge crowds, and multiple bidders driving up the prices."

She advised hopeful buyers to look for properties further from the city.

"There is opportunity for buyers out here, and there are certainly affordable opportunities if they’re prepared to look an extra 2 kilometers out into areas such as Wyndham Vale, or perhaps buy a slightly older home."

Robertson says she still hopes to buy a property.

"Absolutely," she said. "It’s a tough time to try to get into the property market, but it’s only going to get tougher. I’m spending over $10,000 in rent per year, which is crazy. That’s money that could be paying off my own mortgage rather than someone else’s, and while it’s going to be a massive stretch financially, it’s something I fundamentally can’t let go of."

Robertson shrugs off accusations that young adults aren't prepared to put the 'hard yards' in that are required of first-time homebuyers.

"Younger people aren’t afraid of hard work," she said, "and I think that’s evidenced by the fact that in the face of property prices that are rising exponentially, we’re all still slugging away saving."

In the mean time, Robertson says she will remain a "crazy property hound", "scouring property sites" and "hitting the streets" for inspections every week.

Read more about Melbourne real estate:

80% think first-home buyers are locked out of the property market

Housing affordability improves, but the problem remains

Rates on hold, but housing affordability remains 'hotly debated'