Global Power | Local Knowledge | Uniquely Personal

One-third of homes in Melbourne suburbs worth over $1 million

One-third of the properties located in Melbourne's suburbs have a price tag of more than $1 million, new analysis of the housing market shows.

Figures from the Real Estate Institute of Victoria (REIV) reveal that the number of homes in the region worth over $1 million has soared in the last ten years.

In 2007, just 16 per cent of properties in suburbs classed as falling within Melbourne's inner ring came with a price tag of over $1 million, but this has now increased to 90 per cent, demonstrating just how fast house prices have risen in this area over the past decade.

Meanwhile, in the so-called 'middle ring' of suburbs, the proportion of homes worth more than $1 million has risen from just two per cent in 2007 to almost half (48 per cent) today.

In the outer ring of Melbourne, there has also been a stark increase in the number of properties with a $1 million asking price, rising from only one per cent ten years ago to 13 per cent in 2017.

Overall, 154 of Melbourne's 402 suburbs were found to have a median house price of $1 million or more, with 44 additional suburbs making the list this year. These include Kingsville, Coburg and Mordialloc, all of which have recorded significant increases in property prices over the past 12 months.

The suburb with the biggest house price increase in the last decade is Clayton, which lies 19 kilometres south-east of Melbourne, and has recorded an average property price rise of 210 per cent since 2007. The median asking price in the suburb now comes in at $1.3 million.

Richmond Simpson, president of the REIV, commented: "We've had unprecedented growth in real estate prices over the last ten years, but more particularly in the last few years.

"It's mainly driven by low interest rates and also high population movements to Melbourne from interstate and overseas that's put pressure on housing."

DISCLAIMER: All information provided is of a general nature only and does not take into account your personal financial circumstances or objectives. Before making a decision on the basis of this material, you need to consider, with or without the assistance of a financial adviser, whether the material is appropriate in light of your individual needs and circumstances. This information does not constitute a recommendation to invest in or take out any of the products or services provided by SMATS Services (Australia) Pty Ltd or Australasian Taxation Services Pty Ltd.

COPYRIGHT: All information provided is protected by international copyright laws. You may not copy, reproduce, distribute, publish, display, perform, modify, create derivative works, transmit, or in any way exploit any such content, nor may you distribute any part of this content over any network. Copying or storing any content is expressly prohibited without prior written permission of SMATS Group or the copyright holder identified in the individual content's copyright notice. For permission to use the content on please contact

Subscribe Now