Australia’s real estate market saw a major boost after the changes in the interest rates during the Coronavirus pandemic. The Melbourne market enjoyed a rise of 25% from 2020 to 2021 which, although substantial, were little in comparison to the capital cities.
Also, this peak period did not last long, and the market declined in 2022. Then Melbourne property market price did see an increase in 2023, but it was a smaller increase compared to other Australian capital cities.
So, it’s understandable if you’re wondering where to buy an investment property in Melbourne in 2024.
All market segments got impacted by the rise and fall of the market. The decreased household incomes, increased interest rates, and climbing housing and rental pricing will impact the overall market situation in 2024.
Hence, in the future, the capital growth and the profitability of investment property will depend on the location-specific rise in the people’s wages and demographics.
You must research the market before going out to invest in the property. There are more than one thousand inner-city suburbs and outer suburbs in Melbourne.
Here we have enlisted the best and the most profitable Melbourne suburbs to invest in, in 2024.
7 best locations to invest in the Melbourne property market
- Bentleigh
- Melton South
- Ormond
- Ascot Vale
- Epping
- Hoppers Crossing
- Glen Waverley
- Bentleigh
1. Bentleigh
Bentleigh is among the high-in-demand suburbs for its multiple enticing features, including shopping places, outdoor spaces, excellent transport links, a great education system and schools, and the availability of everyday amenities at the doorstep. This place is most popular among young couples and families interested in suburbs with nearby good schools, parks, shops, and restaurants.
The median house price in Bentleigh is around $1,490,000. And the market value is expected to increase later this year.
Find more real estate for sale in Bentleigh VIC.
2. Melton
The property’s pricing in Melton has risen by 68% within the past five years, making it one of the best investment options for property investors. Melton is an outer Northwestern suburb and is a lucrative investment opportunity for its attractive rental yield and good capital gains.
This suburb is among the few remaining Melbourne locations where residential properties are within $500,000 regardless of the handsome market growth.
Find more real estate for sale in Melton VIC.
3. Ormond
Ormond is attracting steady buyer demand with multiple major shopping centres, cafes, restaurants, and shops nearby. Additionally, this suburb features many great schools and colleges, making it an excellent area to raise a family. In addition to the family homes, Ormond’s population has an equal ratio of single residents.
The median house price in Ormond is around $1,452,500.
Find more real estate for sale in Ormond VIC.
4. Ascot Vale
Ascot Vale is among the most popular inner-city suburbs in North Melbourne. This suburb’s real estate market is growing at a fast pace for its attractive inner-city unit markets, golf courses, eateries, and excellent transport system connecting to the city.
The median house price in Ascot Vale is around $1,300,000.
Find more real estate for sale in Ascot Vale VIC.
5. Epping
Epping is one of the most attractive and profitable Melbourne suburbs for property investors as it is located about 20 kilometres north of Melbourn’s business district. Hence, Epping features more Melbourne wholesale markets compared to other surrounding suburbs.
Other lucrative features of Epping for families and single people include peaceful and quiet living, schools, colleges, an excellent transport system, and shopping centres. Dalton Village is a major shopping centre in Epping.
The median house price in Epping is $675,000 and is likely to increase in the future.
Discover more properties for sale in Epping VIC.
6. Hoppers Crossing
Hoppers Crossing is an excellent investment opportunity in 2024 for its consistent buyer demand and steady price growth. Young couples, families and singles get attracted to this suburb for its excellent infrastructure, great nearby employment opportunities, and relatively affordable pricing.
Furthermore, Hoppers Crossing is home to a hospital, schools, colleges, several university campuses, the East Werribee Employment Precinct, a train station, and multiple major shopping centres.
The median price of housing in Hoppers Crossing is around $500,000 to $600,000.
Discover more properties for sale in Hoppers Crossing.
7. Glen Waverley
Glen Waverley is among Melbourne’s most popular suburbs for its premium residential perks, including high-quality education institutes, major corporate parks, train stations, and multiple parks. Some significant institutes in the Glen Waverley area are Victoria police training academy, Monash University, and Monash Public Library.
The median price of housing in Glen Waverley is $1.6 million. In the last decade, yearly housing price growth has been 8.8%, and over 500 houses and more than 300 apartments have been sold in the past year.
Discover more properties for sale in Glen Waverly.
Melbourne property market in recent years
The overall decline in Australia’s real estate market severely impacted Melbourne’s property market, causing a decrease in Melbourne’s median house price range. In June 2022, the median house price in Melbourne increased by 0.1% to $901,000. And the median sales price increased by 5.4% for house prices.
The climbing interest rates and high inflation rates are two primary reasons for increased housing prices. And this trend is likely to continue in 2024.
Also, there is not a strong possibility for new housing this year around Melbourne CBD as the buyers are not inclined towards new housing. The first-home buyers are more interested in affordable apartments located in the suburbs as an alternative.
This explains the northern suburbs like Forest Hill as the predicted Melbourne growth suburbs.
Liked our article on where to invest in Melbourne?
You might be interested in the Melbourne suburbs that performed best in 2022 or where to invest in Australia as a country.
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