As we look towards 2024, Melbourne's property market is poised for a rebound, with prices in property hotspots
expected to not only reclaim what they lost in 2022 but continue to push higher. With the city's north and
north-west offering fruitful opportunities and the Mornington Peninsula providing value-oriented, family-friendly suburbs, now is the time to consider where to invest.
In this article, we will explore the top Melbourne suburbs projected to boom in 2024, providing valuable insights
for those interested in the Melbourne property market.
Top Suburbs for Property Investment in Melbourne
Here are the top suburbs for property investment in Melbourne and what makes them stand out.
1. Flemington
Flemington's convenient location, affordability, gentrification, and rising demand for housing make it an
attractive prospect for property investors in Melbourne.
Convenient location and affordability: Flemington's proximity to downtown Melbourne, its lower-priced housing stock, and its wealth of historic architecture make it an attractive option for both investors and owner-occupiers.
Rental yields: The suburb offers competitive rental yields, with houses currently yielding an average of 2.83%.
Gentrification and potential for growth: Flemington is slowly gentrifying and has its own unique identity, making it a destination for young professionals. The suburb is seen as having an upmarket price tag and feel, with potential for future growth.
Undervalued market: Flemington is considered an undervalued suburb for property investment, offering significant opportunities for investors seeking value in a bustling urban area.
Rising demand: There is a growing demand for smaller homes and apartments in Flemington, particularly from young professionals, further enhancing its investment appeal.
Flemington Racecourse: Home to the Melbourne Cup, one of the world's most prestigious horse races. The racecourse
is a significant attraction for tourists and locals alike, contributing to the suburb's vibrant atmosphere and
potential for growth.
2. Point Cook
Known for its affordable housing options and strong growth potential, Point Cook is an attractive choice for
investors. It also offers access to green spaces, larger retail stores, and less-crowded amenities.
Diverse housing options: Point Cook offers a range of housing options, from luxury homes to more affordable family dwellings, making it an attractive location for many buyers.
Convenient location: Point Cook is located just 22 kilometers away from Melbourne's CBD, making it an easy commute for residents.
Affordability: Point Cook is considered one of the most affordable places to live in Victoria.
Strong economy: Point Cook has a strong economy, with plenty of amenities such as shopping centers, parks, schools, and transport links, making it a desirable location for property investment.
Rental demand: Point Cook has high levels of rental demand, with competitive yields across both residential and
commercial properties, making it a great investment opportunity.
3. Spotswood
This suburb offers a mix of residential and commercial properties, making it a promising investment
opportunity. It also has a strong sense of community and neighborly connections, making it easier to establish
roots and build relationships.
Unique characteristics: Spotswood is known for its unique properties, such as the one on Watt Street, which attracted multiple bids during a property auction.
Strategic location: Spotswood is situated in Melbourne's west, providing convenient access to the city and its amenities.
Rental yields: The suburb offers rental yields of around 2.91% for houses, making it a potentially lucrative investment for property investors.
Capital growth: Properties in Spotswood have experienced continuous capital growth, indicating a strong market presence.
Amenities: Spotswood has excellent public transport options and is located near the Vernon Street shops in South Kingsville, making it convenient for residents and investors alike.
Market resilience: Despite the challenges posed by the pandemic, Melbourne's property market has shown
resilience, and experts predict that it will continue to rebound.
4. Elsternwick
With its proximity to good schools, transport, and amenities, Elsternwick is a top pick for property
investment in Melbourne. It also offers a family-friendly environment, low crime rates, and a sense of
community.
Proximity to the city: Elsternwick is just 9 km from the Melbourne CBD, making it a convenient location for residents and investors.
Affordability: The median house price in Elsternwick is $2,175,000, and the median unit price is $577,000, making it an affordable option compared to nearby suburbs.
Strong demand: Elsternwick is a sought-after suburb due to its good quality schools, proximity to the beach, and access to amenities, making it highly desirable for families.
Rental demand: The suburb has a high demand for rental properties, with a vacancy rate of 0.83% for houses and 0.68% for units.
Gentrification: Elsternwick is experiencing gentrification, with its own unique identity and becoming a destination for young professionals.
Convenient location: The suburb is surrounded by high-income areas and high prices, offering good value for
investors.
5. Narre Warren South
This suburb offers a balance of affordability and desirability, making it an attractive option for investors.
It also has good schools, low crime rates, and a family-friendly environment.
Family-oriented community: Narre Warren South has a strong community spirit and is considered a great place for families, with 62% of all dwelling owners being families.
Affordability: The suburb offers a variety of homes to suit different buyer requirements, from family homes to lifestyle properties, at relatively affordable prices.
Proximity to the city: Narre Warren South is only 39 km from Melbourne's central business district, making it convenient for residents and investors.
Amenities: The suburb has the Westfield Fountain Gate Shopping Centre, the second-largest shopping center in Australia, providing a hub for shopping, relaxation, and entertainment.
Rental demand: Narre Warren South has a high demand for rental properties, with rental yields for houses currently at 3.59%.
Accessibility: The suburb is well-connected to other areas, including beach suburbs, making it an attractive option for those seeking a coastal lifestyle.
Growth potential: Narre Warren South is one of the fastest-growing areas in the state of Victoria, with a
population of 30,319. This growth potential makes it an appealing investment destination for those looking for
long-term capital appreciation.
6. Croydon South
With its affordable housing options and strong growth potential, Croydon South is an attractive choice for
investors. It also offers a mix of residential and commercial properties, making it a promising investment
opportunity.
Growth potential: Croydon South has experienced significant growth in recent years, with a 10-year average annual growth rate of 6.2% on units, nearly double that of Melbourne Metro.
Affordability: The suburb offers a balance between detached houses and apartments, making it an attractive option for house investors.
Strategic location: Croydon South is situated at the north-eastern junction of the Eastern Freeway, with two train lines and numerous bus routes connecting it to the city and other regions.
Family-friendly: The suburb has an estimated population of around 22,597 people, with 67.4% of households being family households.
Rental demand: Croydon South has strong rental yields and is highly desirable for tenants due to its convenient location near shopping centers, schools, and public transport options.
Infrastructure: The area has been identified as a key activity center with concentrated retail
opportunities, and the Maroondah Council has received funding from the Federal Roads to Recovery for the
Lincoln Road, a key link road connecting Maroondah to the Shire of Yarra Ranges.
7. Burnside Heights
This suburb offers a mix of residential and commercial properties, making it a promising investment opportunity. It
also has good schools, low crime rates, and a family-friendly environment.
Affordability: Burnside Heights offers properties at relatively affordable prices, making it an attractive option for investors with a budget above $400,000.
Family-friendly: The suburb has a peaceful atmosphere, with good parks and playgrounds, making it suitable for families with children.
Education: Burnside Heights is home to a highly-rated primary school, Kororoit Creek Primary School, and a good kindergarten, making it an appealing location for families with young children.
Amenities: The area has a café/mini-mart, a swimming pool, an AFL oval, and a gym, providing a range of recreational facilities for residents.
Proximity to Caroline Springs: Burnside Heights is close to Caroline Springs Lake and Town Center, offering convenient access to shopping and entertainment options.
Transportation: The suburb is well-connected to other areas, with easy access to public transportation options.
8. Moonee Ponds
Known for its affordable housing options and strong growth potential, Moonee Ponds is an attractive choice for
investors. It also offers access to essential amenities, like restaurants, banks, and gyms, fostering a vibrant
work-life balance.
Proximity to the city: Moonee Ponds is just 6 km from Melbourne's CBD, providing convenient access to the city and its amenities.
Vibrant community: The suburb has a lively atmosphere, with a diverse range of shops, restaurants, and cafes, making it an appealing place for residents and investors.
Amenities: Moonee Ponds is home to the Moonee Valley racecourse, Queens Park, and The Clocktower Centre, offering a variety of recreational and cultural facilities.
Rental demand: The suburb has a 4.26% rental yield, making it a good choice for investors who want to benefit financially from their property.
Family-friendly: Moonee Ponds is suitable for families, with a diverse range of schools and parks available.
Transportation: Moonee Ponds has excellent public transport links, making it easy for residents to access the city and other areas.
Growth potential: The suburb has experienced significant growth in recent years, with a population increase of 5.4%
between 2011 and 2016.
9. Northcote
This suburb offers a mix of residential and commercial properties, making it a promising investment opportunity. It
also has good schools, low crime rates, and a strong sense of community.
Lifestyle and amenities: Northcote is a trendy yet laid-back suburb, known for its vibrant community, diverse shops, restaurants, and cafes. It offers a great lifestyle with a high Walk Score, indicating that most errands can be accomplished on foot. The suburb is also well-served by public transport, including trains, trams, and bus routes.
Strong demand and growth: Northcote has become a highly sought-after location for both investors and residents. It has a strong community spirit, contributing to its liveability and popularity. The suburb has experienced significant growth, with a perfect score for work, rest, and play in a PwC Australia City Pulse 2021 study. The median house price has also seen a substantial increase, reflecting strong interest from buyers and developers.
Proximity to the city: Located just 7 km from the CBD, Northcote offers convenient access to Melbourne's central business district, making it an attractive location for both living and investing.
Cultural and entertainment scene: Northcote is known for its rich culture, live music scene, bustling cafes, and
bars, providing an unparalleled lifestyle for its residents. This vibrant atmosphere makes it an appealing location
for investors seeking to capitalize on the suburb's unique character.
10. Glen Iris
With its proximity to good schools, transport, and amenities, Glen Iris is a top pick for property
investment in Melbourne. It also offers a family-friendly environment, low crime rates, and a sense of
community.
Family-friendly: Glen Iris is known for its peaceful and quiet atmosphere, making it an ideal place for families. The suburb has a high number of parks, playgrounds, and schools, catering to the needs of families with children.
Proximity to the city: Located just 10 km southeast of Melbourne's CBD, Glen Iris offers convenient access to the city and its amenities.
Amenities: Glen Iris has a vibrant shopping area along High Street, which includes several cafes, restaurants, and specialty stores. The suburb is also well-served by public transport, with several tram and bus routes running through the area and a train station on the Glen Waverley line.
Green spaces: The area is known for its leafy, tree-lined streets and well-maintained gardens, giving it a serene and tranquil feel.
Strong community: Glen Iris has a strong sense of community, with many locals tending to stay in the area for years. The suburb is also home to a growing number of trendy cafes, shops, and even a brewery.
Education: Glen Iris is home to top-performing schools, making it a popular choice for families.
Investment potential:The suburb's desirability and amenities make it an attractive investment opportunity for those looking to capitalize on the Melbourne property market.
