A surge of surprise million-dollar suburbs has redrawn Melbourne’s housing map, as fresh REIV data confirms the west’s breakout performance.
A rising spring market saw a clutch of western suburbs join Melbourne’s million-dollar club, new median price figures show.
Taylors Hill in Melbourne’s outer west hit a $1m median for the first time, while Airport West, Avondale Heights and West Footscray returned to seven figures amid a citywide lift in median prices.
The new REIV figures for the September quarter confirmed 11 suburbs hit or re-entered the $1m mark, with Taylors Hill reaching median house price at $1.04m.
Other suburbs also back above seven figures include Mornington, Ringwood, Ringwood East, Taylors Lakes, Watsonia and Yarra Glen amid a widespread rebound in the market.
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At the prestige end, Brighton East was a standout, its median house price jumping 31.8 per cent for the quarter, while Surrey Hills – in Melbourne’s leafy east – also recorded strong gains.
Agents say limited listings and demand for family homes was keeping competition tight.
In the north and west, Melton South and Sunshine West were among the surprise movers, with St Albans, Glenroy and Epping also in the black as buyers chase value near transport and schools.
Local agents report more investors and upgraders bidding side-by-side in these corridors.
Taylors Hill has joined Melbourne’s million-dollar club after its median jumped to $1.04m in the September quarter. Picture: Nearmap
REIV president Jacob Caine says the city has “worked its way out of the post-Covid malaise” with sustained growth across all markets.
REIV president Jacob Caine said momentum was spreading across the city.
“We’ve cautiously worked our way out of that post-Covid malaise,” Mr Caine said.
“What we’re seeing now is a genuine, sustained cycle of growth, both at the prestige end, like Brighton East and Surrey Hills, and at the affordable end in suburbs like Melton South and St Albans.”
Mr Caine cautioned the $2m to $5m “mid-luxury” bracket remained patchy, with higher debt levels and tighter borrowing conditions tempering results in some pockets.
Melbourne buyers’ advocate Cate Bakos says competition is fiercest under $950000, with FOMO and thin listings driving medians higher.
Melbourne buyers advocate Cate Bakos said competition was especially fierce for homes under $950,000, pushing the median price in some suburbs above the $1m mark.
“There’s definitely urgency and FOMO in that market,” Ms Bakos said.
“First-home buyers are competing with upgraders and investors, and stock levels are thin.
Taylors Hill and West Footscray are among the standout western suburbs to break the $1m mark for the first time.
“Even units and townhouses are going to auction now, which makes it tougher for buyers who are nervous about finance or bidding unconditionally.”
More buyers were compromising on dated interiors or to further suburbs to break in, she said, while boutique apartments and villas were proving to be the most undervalued options.
“They’re underrated, great locations, lower owners’ corp fees, and often far better long-term value than the glossy new towers.”
Belle Property and Hockingstuart’s Anthony Webb says Melbourne’s relative affordability is luring Sydney investors chasing future growth.
Belle Property and Hockingstuart head of Victoria Anthony Webb said Melbourne’s relative affordability compared with Sydney was luring investors.
“Melbourne is still seen as undervalued compared to the other east coast capitals,” Mr Webb said.
“We’re already seeing Sydney buyers targeting Melbourne, particularly for capital growth over the next one to three years.”
Mr Webb said Preston and surrounding northern suburbs were drawing strong demand, while auctions under $1m across the city were attracting heavy competition.
“If you’ve been sitting on the sidelines for six months, now’s the time to act,” he said.
“Spring brings more listings, but if supply tighten again early next year, prices could rise faster.”
Melbourne’s new $1m+ club
| Suburb | Median Price |
| Taylors Hill | $1,040,000 |
| Airport West | $1,130,000 |
| Avondale Heights | $1,011,000 |
| Footscray | $1,000,000 |
| Mornington | $1,100,000 |
| Ringwood | $1,030,500 |
| Ringwood East | $1,051,000 |
| Taylors Lakes | $1,010,000 |
| Watsonia | $1,111,000 |
| West Footscray | $1,010,000 |
| Yarra Glen | $1,260,000 |
Source: REIV
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