Geelong house prices jump $100K in affordable suburbs as experts warn of tough market

1 day ago 2

Suburbs offering affordability for young homebuyers and investors are leading the change in price growth across Geelong.

The value of a typical home has increased more than $100,000 in Geelong’s best performed suburbs in the past financial year, new data shows.

The median value data for each suburb from PropTrack reveals the extent of booming demand for properties in the Geelong areas which make up the biggest proportion of affordable homes across the city.

Increases of more than 20 per cent were recorded in Norlane and Corio, where the median value of a house climbed as much as $109,000 in the 12 months to June 2026.

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Among the suburbs to experience annual growth of more than 10 per cent were Whittington, St Albans Park, Newcomb, Bell Post Hill, Bell Park, North Geelong and Grovedale.

Each of these suburbs have median house prices below Geelong’s overall median home price.

But the data also reveals how effective changes in government housing policies seem to have been at putting brakes on the property market.

While 35 suburbs saw the median value for a house higher than 12 months ago, quarterly data reveals 32 suburbs were in decline over the past three months.

Only nine Geelong suburbs experienced price growth for houses in the June quarter, with 2.5 per cent growth recorded in Corio and Norlane nearly twice as fast as any other suburb and if it remains on that trajectory over subsequent quarters would set another annual rise of more than 10 per cent.

Home prices in Geelong’s northern suburbs are growing at twice the pace of the rest of the city that’s rising. Picture: Alan Barber

Real estate experts were not surprised with the data, which reflects firstly a return to growth following the post-Covid correction in the market.

McGrath Geelong director David Cortous said the first half of the financial year was actually pretty buoyant.

“The second half of the financial year’s been a disaster,” he said.

“But I would say last six months have been some of the toughest times in real estate I’ve seen when it comes to downward pressure on pricing,” Mr Cortous added.

“It’s everything – three interest rate rises, the war, government changes to tax changes, negative gearing, the whole lot. It all came within a six-month period.

“It’s going to make an impact, but it’s forces that are out of our control.

Geelong real estate agent David Cortous said the government’s changes to property tax settings had impacted home prices, but investors were returning to the market. Picture: Alan Barber

Buyers agents purchasing in Victoria for interstate investors have returned in the past months, Mr Cortous said.

“I guess they’ve worked how they’re going to buy. They’re probably still selling the dream to their clients that Victoria’s going to turn, and it will turn at some point.

“Whether that’s in 12-months’ time or 24-months’ time, our market’s very suppressed at the moment in Victoria, and I don’t think that’s any secret.”

Mr Cortous said owner-occupiers were still transacting, targeting turnkey properties that were ready to move in, with homes valued below $800,000 a sweet spot in the market.

“Building costs won’t go down, even though people think they will. At the moment your value for money right now is in something that’s turnkey,” he said.

Maxwell Collins director Nick Lord said affordability pressures were weighing on a market impacted by global politics, petrol prices, interest rates and state and federal policy announcements acting to soften the local market.

Maxwell Collins director Nick Lord said the Geelong market has not been hit as hard as big capital cities.

But Mr Lord said while Melbourne and Sydney markets have been particularly hit hard, Geelong’s market has operated in more of a bubble where more properties were transacting.

But Mr Lord said the negativity particularly around Melbourne’s falling auction clearance rate is impacting local sentiment.

“We’re going through a bit of re-education with our clients and letting them know the market in Geelong’s actually very healthy,” Mr Lord said.

“Much of the media people read is from the capital cities, and that’s not actually what’s happening in our market,” he added.

“But we’re finding sales rates for a fairly-priced property is very healthy,” he said.

“Nothing’s really changed from in the last six to 12 months that if something is on market optimistically priced, but realistically priced, we’re seeing the buyers are still connecting.”

The data reveals the most expensive coastal areas were still seeing big declines in home values, lead by 10 per cent-plus falls at Anglesea, Queenscliff and Point Lonsdale.

Within Geelong, bigger higher-end suburbs such as central Geelong, Highton, Geelong West and Newtown experienced moderate growth over 12 months, before retreating in the past quarter.

Geelong buyers advocate Tony Slack said high rental yields revealed the opportunities available to investment buyers in Geelong.

Geelong buyers advocate Tony Slack said the suburbs leading the pack were the target for young homebuyers and investment activity from purchasers seeing strong rental yields as an indicator of future capital growth.

“For higher prices properties, there is a combination of two things – a lack of buyers in the market at that price point. But also a lack of properties,” Mr Slack said.

“I’m finding a distinct lack of properties available at the higher end. I’m sure it’s from a lower turnover as well, particularly in the last six months. That reflects that softening of the median price.”

Mr Slack said properties in areas that still encompass investors, first-home buyers, and downsizers were transacting.

“If you’re in a market that offers walkability, all those things that investors and particularly downsizers are looking for, you should be able to find a buyer at the moment,” he said.

WHAT YOUR HOME IS WORTH NOW

Suburb	Prop. type	Median value, June 2026	3 month change	12 month change
Anglesea	H	$1,355,634	-8.7%	-10.4%
Armstrong Creek	H	$688,015	-1.2%	5.1%
Bannockburn	H	$788,571	1.5%	5.0%
Barwon Heads	H	$1,482,421	-0.1%	-0.5%
Bell Park	U	$561,366	1.5%	11.3%
Bell Park	H	$695,544	0.6%	13.3%
Bell Post Hill	H	$725,175	0.8%	13.4%
Belmont	H	$739,452	-2.4%	7.8%
Belmont	U	$543,752	-2.8%	4.5%
Breakwater	H	$574,776	-1.9%	11.0%
Charlemont	H	$669,448	0.5%	8.0%
Clifton Springs	H	$690,439	-1.6%	4.5%
Corio	U	$441,270	3.2%	15.1%
Corio	H	$594,610	2.6%	22.4%
Curlewis	H	$694,935	-1.3%	6.2%
Drysdale	U	$574,465	2.3%	5.4%
Drysdale	H	$750,905	-2.2%	3.4%
East Geelong	H	$804,983	-2.7%	3.2%
East Geelong	U	$507,330	-6.6%	0.6%
Fyansford	H	$957,120	-1.5%	2.6%
Geelong	H	$883,604	-1.0%	1.0%
Geelong	U	$571,489	-3.0%	0.2%
Geelong West	H	$836,931	-2.0%	3.0%
Geelong West	U	$543,972	-2.2%	2.8%
Grovedale	U	$546,593	2.1%	10.8%
Grovedale	H	$730,708	0.3%	10.4%
Hamlyn Heights	U	$583,050	-0.1%	7.7%
Hamlyn Heights	H	$752,115	-1.5%	5.6%
Herne Hill	U	$385,141	0.9%	6.0%
Herne Hill	H	$738,316	-2.7%	6.3%
Highton	H	$869,250	-3.0%	1.3%
Highton	U	$547,508	-1.7%	5.9%
Indented Head	H	$759,712	-4.3%	-5.8%
Jan Juc	H	$1,352,556	-6.9%	0.6%
Lara	U	$524,983	3.2%	12.4%
Lara	H	$728,678	-0.7%	6.3%
Leopold	U	$530,614	1.9%	6.8%
Leopold	H	$726,496	1.0%	9.6%
Lorne	U	$1,095,880	-3.4%	-7.3%
Lovely Banks	H	$825,464	1.1%	12.7%
Manifold Heights	H	$942,704	-2.5%	-4.3%
Manifold Heights	U	$490,439	-3.9%	5.2%
Marshall	H	$685,503	0.1%	9.7%
Mount Duneed	H	$736,577	0.0%	7.2%
Newcomb	U	$491,391	-1.7%	4.7%
Newcomb	H	$631,663	0.6%	13.4%
Newtown	U	$598,351	-2.1%	2.7%
Newtown	H	$1,156,571	-0.7%	0.1%
Norlane	U	$458,728	4.3%	13.7%
Norlane	H	$549,244	2.5%	22.3%
North Geelong	H	$679,858	-0.5%	10.6%
Ocean Grove	H	$929,823	-5.3%	-1.7%
Ocean Grove	U	$712,279	-7.8%	-3.6%
Point Lonsdale	H	$1,122,445	-10.4%	-12.1%
Point Lonsdale	U	$770,533	-4.6%	-7.5%
Portarlington	H	$816,542	-5.6%	-4.5%
Portarlington	U	$639,958	-3.1%	-1.9%
Queenscliff	H	$1,255,051	-11.1%	-14.3%
St Albans Park	H	$667,932	0.2%	14.2%
St Leonards	U	$579,842	-0.6%	-2.9%
St Leonards	H	$710,688	-3.8%	-1.3%
Thomson	H	$582,547	-1.6%	9.0%
Torquay	H	$1,181,604	-5.0%	-1.8%
Torquay	U	$816,205	-6.4%	-2.5%
Wandana Heights	H	$1,025,421	-0.4%	2.7%
Waurn Ponds	H	$836,362	-0.1%	7.2%
Whittington	U	$430,631	-0.2%	7.6%
Whittington	H	$584,766	-0.2%	15.8%
Winchelsea	H	$650,067	-1.0%	3.2%