Cheapest suburbs to buy in Melbourne 2024
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Looking to buy a home or an investment property in Melbourne?
With a median house price of $943,725, you need to move beyond the core inner city suburbs of Melbourne, or anywhere near the water to get real value for money. Thankfully properties in the outer suburbs of Melbourne tick this box with larger blocks of land and generously proportioned homes.
Here are the cheapest suburbs to buy in Melbourne.
Top 10 cheapest suburbs to buy in Melbourne
These are our picks for the top 10 most affordable suburbs in Melbourne to buy a unit according to CoreLogic data (November 2023).
| Suburbs | Median house price |
|---|---|
| Melton, 3337 | $470,000 |
| Melton South, 3338 | $488,000 |
| Dallas, 3047 | $503,000 |
| Coolaroo, 3048 | $520,000 |
| Kurunjang, 3337 | $522,000 |
| Melton West, 3337 | $542,500 |
| Brookfield, 3338 | $551,000 |
| Doveton, 3177 | $560,000 |
| Broadmeadows, 3047 | $565,000 |
| Meadow Heights, 3048 | $570,000 |
These are our picks for the top 10 most affordable suburbs in Melbourne to buy a unit according to CoreLogic data (November 2023).
| Suburbs | Median house price |
|---|---|
| Albion, 3020 | $315,000 |
| Carlton, 3053 | $329,000 |
| Travancore, 3032 | $340,000 |
| Melton South, 3338 | $372,500 |
| Flemington, 3031 | $376,000 |
| Melton, 3337 | $377,000 |
| Notting Hill, 3168 | $385,000 |
| Herne Hill, 3218 | $385,750 |
| Whittington, 3219 | $397,500 |
| Dandenong, 3175 | $399,990 |
Top 5 cheapest suburbs to buy a house in Melbourne
Let’s take a closer look at our top 5 cheapest suburbs in Melbourne to buy a house.
1. Melton, 3337
Part of Greater Melbourne, Melton is located 47 kilometres from the CBD on the city’s western urban-rural fringe. Offering a vibrant urban lifestyle in a picturesque setting, Melton is also relatively affordable – median house price is $470,000, which has risen +10 per cent over the past five years. It’s also Melbourne’s cheapest suburb to rent a house, with recent CoreLogic data indicating median rent is $395, rising +9.7 per cent over the past year. Gross rental yield for houses is 4.34 percent and the vacancy rate is 0.9 per cent, slightly above Melbourne’s vacancy rate of 0.8 per cent.
2. Melton South, 3338
Located 37 kilometres west of the Melbourne CBD, Melton South has become popular with young homebuyers for its established, family-sized homes close to shops, schools and public transport. With a relatively affordable median house price of $488,000, growing +16.8 per cent over the past year, it’s likely to continue attracting homebuyers and investors looking for more bang for their buck. Houses in Melton South rent for a median $403 per week – up +10.2 per cent over the past year – with a rental yield of +4.28 per cent.
3. Dallas, 3047
Undergoing recent rebuilds and developments, Dallas is an up-and-coming suburb in the City of Hume, located 17 kilometres north of the Melbourne CBD. For a median house price of $503,000, which has risen +9.60 per cent over the past five years, buyers can find family-sized homes on good-sized blocks only 19 minutes by car from the city.
4. Coolaroo, 3048
Collaroo is the northern neighbour of Dallas, located 18 kilometres north of the Melbourne CBD. While price growth has been slow – rising +8.4 per cent over the past five years – a relatively affordable median house price of $520,000 could see more flocking homebuyers to this quiet, family-friendly suburb.
5. Kurunjang, 3337
Located 36 kilometres west of Melbourne’s CBD, Kurunjang is a quiet pocket offering the best of suburban living within reach of the city. With family-sized houses in hot demand, house prices spiked in Kurunjang during the pandemic, rising +17.6 per cent over the past five years. As Melbourne buyers seek more affordable options, Kurunjang is poised to come on the radar again. It could also attract more renters – median weekly house rent is a comparatively low $418 according to CoreLogic, growing 10.6 per cent over the past year.
Top 5 cheapest suburbs to buy a unit in Melbourne
Now let’s take a closer look at our top 5 picks for the cheapest suburbs in Melbourne to buy a unit.
1. Albion, 3020
Albion is one of Melbourne’s hidden gems – a quiet, family-friendly suburb only 14 kilometres west of the CBD. With so much to offer right on the city’s doorstep, units in Albion remain surprisingly affordable, selling for a median price of $315,000. Investors may also want to put Albion on their watchlist – prices have risen +14.1 per cent over the past five years while a low vacancy rate of 0.2 per cent keeps the rental market tight. Unit rents have increased +14.6 per cent over the past year, with a median rent of $366 and rental yield of +5 per cent.
2. Carlton, 3053
If you’re looking for an affordable unit in the heart of the city, Carlton could be for you. A trendy inner city suburb only 3 kilometres north of the Melbourne CBD, Carlton is famous for its lively culture. With a median unit price of $329,000, which has risen +5.6 per cent over the past five years, buyers can score their own piece of the action for less than in neighbouring suburbs. It also has good investment prospects – SQM Research data indicates rental yield for Carlton units is around +7.32 per cent, with a median weekly rent of $553.
3. Travancore, 3032
Travancore is a small inner city suburb located 5 kilometres north-west of the Melbourne CBD. Median unit price is $340,000, which has dropped -1.2 per cent over the past five years, suggesting Travancore could be ripe for finding a bargain only minutes from the city. Investors might also take notice – rental yields for units in Travancore are 6.62 per cent, with a median rent of $450, according to CoreLogic data.
4. Melton South, 3338
Located 37 kilometres west of the Melbourne CBD, Melton South has a median unit price of $372,500, which has risen +13.5 per cent over the past five years. The Melton South unit market is dominated by villa-style units, offering homebuyers an affordable alternative to apartment living. Melton South also ranks as Melbourne’s cheapest suburb to rent a unit, with CoreLogic recording median unit rent as $345, rising +8.4 per cent over the past year.
5. Flemington, 3031
Flemington, an inner city Melbourne suburb located 5 kilometres northwest of the CBD, is popular with hip young professionals and families looking to mix suburban life with city convenience. Quirky and full of character, Flemington also remains relatively affordable, with a median unit price of $376,000. While unit prices dropped -2.5 per cent over the past five years, the rental market remains tight – vacancy rates are at 0.77 per cent according to SQM Research. Unit rent is $475 with a rental yield of 5.7 per cent.
Most affordable suburbs to buy within 10km of Melbourne CBD
For those wanting a house close to the city, these are the cheapest suburbs in Melbourne to buy a house within 10km of the CBD:
| Suburbs | Median house price |
|---|---|
| Braybrook, 3019 | $760,000 |
| Bellfield, 3081 | $930,000 |
| West Footscray, 3012 | $940,000 |
| Maidstone, 3012 | $945,000 |
| Coburg North, 3058 | $945,000 |
Our pick is Braybrook
Braybrook, located in the City of Maribyrnong, is loved by locals for its well-serviced suburban lifestyle only a stone’s throw from the CBD. Median house price is a relatively cheap $760,00, and as prices have only increased +3.6 per cent over the past five years, Braybrook may soon come to the attention of more homebuyers and investors seeking affordable houses in a top location.
Things to remember
When looking to buy a bigger block in the outer suburbs there are a few things to keep in mind. Always consider your public transport options as you don't want to burn out on a rough commute. Suburbs near a train line or well-connected with buses are ideal. Investigate all aspects of the area to ensure there is good infrastructure with plenty of opportunity for jobs, entertainment and economic growth.
Frequently asked questions about the cheapest suburbs to buy in Melbourne
What is the cheapest suburb in Melbourne?
Where are the cheapest houses in Victoria?
Why is Travancore so cheap?
