Falk & Co real estate sales manager Gary Attrill said the 53 housing blocks in the Arches Port Campbell Development were initially offered to Corangamite Shire residents only in line with the wishes of the owner.

Shire residents received a special mail-out where they had to register their interest and provide ID to prove they were locals.

"The ones that did that had first opportunity to purchase and we've had 28 taken up in the first go," Mr Attrill said.

Thirty properties have now been sold with the remaining properties expected to be up for grabs for the general public within weeks.

"The take-up was actually unbelievable," Mr Attrill said.

"It was pretty amazing really. We expected we may have sold eight or 10 maybe in the first take-up, but it's been fantastic."

The housing blocks, which are tucked in behind the footy ground, are selling for between $186,000 and more than $403,000.

Mr Attrill described the region's real estate market as "absolutely crazy".

He said there was not much on the market anywhere, and that could be a factor in the quick take-up of the Port Campbell blocks.

"There's a lot of younger people buying. It's really good," he said.

Falk & Co director David Falk said there was a shortage of properties on all fronts.

"Shortage of rentals, shortage of sales, whether it be houses, farms of whatever. It doesn't seem to matter at the moment. Everything's the flavour of the month which is good," he said.

"Rents are getting dearer because of the lack of them."

He said rents were going up $20 to $30 a week, depending on the property.

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"You've got to remember that we didn't put rents up last year because we weren't allowed. It's probably a little bit of a double barrel this year I suppose," Mr Falk said.

"We might have one two-bedroom flat in Camperdown for rent but nothing in Timboon, nothing in Port Campbell, nothing in Peterborough and Terang at the moment," he said.

Mr Falk said the whole region was experiencing property price rises that were in line with those in Warrnambool.

"Got a little house in Timboon at the moment and I would say it would be done and dusted in the next couple of days. Everything you get just goes. It's incredible," he said.

"It's very highly sought after residentially, lifestyle and of course the farms. They've just gone up exponentially. It's incredible."

"It's just amazing what's happened."

He said a recent auction in Terang fetched more than $160,000 above the reserve. "That blew us out of the water," he said.

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