Melbourne’s property market in 2024 showcased a stark contrast between booming suburbs and those facing challenges. Here’s a comprehensive look at the top 10 suburbs with the highest capital gains and the 5 that saw the steepest declines.

Top 10 Suburbs for Capital Growth

1. Tyabb

• Capital Gain: +26.3%

• Median House Price: $960,000

Located on the Mornington Peninsula, Tyabb attracted families and remote workers with its affordability and lifestyle.

2. Middle Park

• Capital Gain: +18.5%

• Median House Price: $2,850,000

Bayside living and proximity to the CBD kept Middle Park in demand among affluent buyers.

3. Hawthorn East

• Capital Gain: +18.5%

• Median House Price: $2,630,000

A hub for education and family-friendly amenities, Hawthorn East remained highly desirable.

4. Ivanhoe

• Capital Gain: +18.5%

• Median House Price: $1,700,000

Combining heritage charm with modern convenience, Ivanhoe drew many families.

5. Oak Park

• Capital Gain: +17.9%

• Median House Price: $1,120,000

Affordable and well-connected, Oak Park appealed to first-home buyers.

6. North Warrandyte

• Capital Gain: +16.1%

• Median House Price: $1,457,000

Scenic views and semi-rural tranquility boosted this suburb’s appeal.

7. Hawthorn

• Capital Gain: +16.0%

• Median House Price: $3,066,000

This vibrant suburb remained a top choice for professionals and families alike.

8. Bittern

• Capital Gain: +14.6%

• Median House Price: $1,098,000

Proximity to Tyabb and affordable prices helped Bittern flourish.

9. Keilor

• Capital Gain: +13.6%

• Median House Price: $1,170,000

Suburban charm and transport links made Keilor a popular choice.

10. Wandin North

• Capital Gain: +13.4%

• Median House Price: $930,000

Nature lovers flocked to Wandin North for its Yarra Valley beauty.

Top 5 Suburbs for Capital Decline

1. Toorak

• Capital Loss: -21.0%

• Median House Price: $4,819,000

Luxury homes struggled as high borrowing costs curbed demand.

2. South Yarra

• Capital Loss: -20.7%

• Median House Price: Declining significantly

Oversupply of apartments hurt this inner-city suburb.

3. Riddells Creek

• Capital Loss: -17.3%

• Demand softened in this semi-rural area.

4. Elwood

• Capital Loss: -15.0% (approx.)

Inner-city properties faced reduced demand.

5. Docklands

• Capital Loss: Ongoing declines

Oversupply of high-rise apartments continued to depress prices.

Key Insights

• What Worked: Suburbs with a mix of affordability, lifestyle appeal, and improved infrastructure flourished. Buyers focused on areas offering value for money and family-friendly amenities.

• What Didn’t: High-end markets and oversupplied inner-city areas bore the brunt of rising interest rates and shifting buyer priorities.

Melbourne’s real estate market in 2024 underscores the importance of understanding local trends. Whether you’re an investor or a homeowner, paying attention to market dynamics can help you make smarter property decisions.

Disclaimer

This article is for informational purposes only and provides an overview of Melbourne’s property market trends in 2024. The mentioned capital gains and losses are based on publicly available data and may vary due to changes in market conditions. Readers are advised to seek professional advice or consult the latest market updates before making any real estate investment or purchasing decisions to ensure accuracy and reliability.