Houses are spending well below average time on the market than the rest of regional Victoria.

The Real Estate Institute of Victoria recorded the average time a house spends on the market in Horsham is just 29 days, the average for regional areas is 39 days.

Wes Davidson Real Estate director Wes Davidson said it was the most buoyant market he had ever seen.

"There is a mixture of investors, homebuyers, with interest rates being so low the regional yield has been high it's a very good market where investors are looking to purchase and homebuyers are able to take advantage of that and can try to get into the market," he said.

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Mr Davidson said you simply have to look the facilities at Horsham to see why houses sell so quickly.

"If you look at Horsham and compare to other areas, it's a very reasonable price point. It opens up to a variety of buyers, locally and outside the area," he said.

"It's created a real rush and things are selling quite often before they even get advertised."

Mr Davidson said the strong market should remain for the foreseeable future.

"Less has come in on the market which adds fuel to the fire. You've got more buyers competing for the property and as a result the properties are moving quicker," he said.

Wes Davidson Real Estate have added on a new staff member who starts next week to assist with the demand.

Harcourts Horsham principal real estate agent Mark Clyne agreed the market was very strong, with buyers mostly being either from the area or other regional centres.

"There are multiple things. People are moving into the area this time of year for work, people from Melbourne having a look, not in massive numbers but still out there, people looking to upgrade, investors are being more active," Mr Clyne said.

"For the right property, if it's presented well and a quality product, there's multiple buyers which means they are not on the property long."

Mr Clyne said houses that previously spent a year on the market, were now selling within hours or days.

"I think with the demand that is there, this will last for at least the next three months or so," he said.

"We'll have to wait and see what the drivers are after that."

According to the Real Estate Institute of Victoria's December statistics, the median price of a 3 bedroom house in Horsham in $179,500 whereas the regional average for a 3 bedroom is $390,000.

Mr Clyne said supply and demand took over.

"It was happening prior coronavirus and through coronavirus but the crunch time has come afterwards, which made it look like it was all happening after coronavirus but it was all happening well and truly before," he said.

Mr Clyne said some people who are unable to find a rental are choosing to buy.

"If they have a two or three year contract for work, once their tenure is up, potentially if they don't stay they'll use it as a rental property," he said.

"People tend to stay here for a few years in a rental and then buy but at the moment they don't have that luxury.

"We have next to no rentals, very few sale properties, supply of blocks is next to nothing and people have to wait two to three years to have a house built.

"We have agents who have been around for 30 or 40 years who have never seen anything like this."

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